On August 6, CNBC reported that Apple's valuation reached $1 trillion again last week, almost a year ago. However, as the United States announced that it would impose a 10% tariff on Chinese goods worth $300 billion from September 1, Apple's stock fell by $10.68 per share this Monday to $193.34, a decline of 5.23%, This was the biggest drop (5.81%) since May 13. Analysts predict that Apple will continue to decline in the next few days.

Sanford Bernstein analyst Toni Sacconaghi said that if Apple took all the additional taxes on the iPhone, its profits would fall by 7% next year and its profit margin would fall by 1.5%. If Apple passes on tariff costs to consumers, the company needs to predict how much sales will decline. If the decline exceeds 20%, Apple had better absorb the new costs by itself. Analysts also predict that China may also impose tariffs on iPhones imported from the United States.

Apple designs iPhones in the United States, but mainly assembles them in China, and also produces a small number of iPhones in India. It was previously reported that Apple would start to produce some 2018 iPhones in India this month for local sales and export. However, the number of Apple devices produced in India is far less than that in China. Apple is also considering transferring its production line to other countries, such as Vietnam.

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