Apple braces for tariffs aftermath

CEO Tim Cook anticipates a disastrous second quarter due to tariffs.

Apple has unveiled its results for the first quarter of 2025, with iPhone sales just reaching the forecast $46 billion.

Apple's sales generated over $95 billion in revenues in the first quarter of 2025, slightly exceeding forecasts of just over $94 billion.

However, some indicators are already revealing tensions, notably a billion-dollar drop in sales in China, below projections.

According to Forbes, Apple's first-quarter sales in the greater China region, currently at the center of a major tariff dispute with the United States, came in below expectations.

While projections were for $17 billion, sales were only $16 billion.

CEO Tim Cook predicts a difficult second quarter due to the tariffs introduced by the Trump administration, which the company believes would result in additional costs estimated at $900 million.

Let's not forget that if the trade wars with China were to drag on, Apple would inevitably suffer the consequences, as China accounted for 17% of its revenues in 2024. What's more, beyond the impact on sales, the majority of iPhones are assembled in this country, accentuating the company's vulnerability. Of course, any increase in costs would inevitably be passed on to Apple's loyal customers.