China considers expanding iPhone ban in government agencies

China is considering expanding a ban on the use of iPhones in sensitive departments to include government-backed agencies and state companies, posing potential challenges for Apple Inc. in its largest foreign market and global production base.

The restriction aims to further root out foreign technology use in sensitive environments and reduce China’s reliance on American software and circuitry. This move threatens Apple’s position in a market that generates about a fifth of its revenue and where it manufactures most of the world’s iPhones through extensive Chinese factories.

Several agencies have already begun instructing employees not to bring their iPhones to work, and Beijing intends to extend this restriction to numerous state-owned enterprises and other government-controlled organizations. The exact number of companies and agencies that could adopt restrictions on personal devices is unclear, and there have been no formal written injunctions issued yet.

This development has the potential to significantly impact Apple’s business in China, where the company enjoys widespread popularity despite growing resentment towards American efforts to contain China’s technology industry. Apple’s iPhones are among the best-selling smartphones in China, both in the private sector and government offices.

The ban on Apple devices coincides with China’s efforts to develop domestic technology that can rival American innovation. The country has recently achieved breakthroughs in chip production and smartphone manufacturing, aiming to become less dependent on foreign technology.

It’s important to note that the Chinese government has historically been seen as relatively lenient towards Apple compared to other tech companies. However, this move raises questions about whether the Chinese government is changing its stance towards the tech giant.

While Apple has not officially commented on this development, its shares dropped 3.6% in New York in response to the news. Apple had previously seen significant gains in its stock price in 2022, reflecting its strong performance in China and around the world.

The expansion of this ban could impact Apple’s future in China, as the company relies heavily on the country both as a manufacturing partner and a critical market for its products. Despite growing tensions between the US and China, Apple remains highly dependent on its relationship with China, which CEO Tim Cook has described as “symbiotic.”

Elevate your business with QU4TRO PRO!

Gain access to comprehensive analysis, in-depth reports and market trends.

Interested in learning more?

Sign up for Top Insights Today

Top Insights Today delivers the latest insights straight to your inbox.

You will get daily industry insights on

Oil & Gas, Rare Earths & Commodities, Mining & Metals, EVs & Battery Technology, ESG & Renewable Energy, AI & Semiconductors, Aerospace & Defense, Sanctions & Regulation, Business & Politics.

By clicking subscribe you agree to our privacy and cookie policy and terms and conditions of use.

Read more insights

Full output return meets price hike in Saudi Arabia’s Asian oil strategy

OPEC+’s decision to fully unwind 2.2 million barrels per day of production cuts is being interpreted globally as a strategic pivot from defending prices toward regaining market share. Yet Saudi Arabia’s simultaneous move to raise official selling prices (OSPs) for September cargoes, with Arab Light to Asia up by $1 to a $3.20 per barrel premium over Oman/Dubai, signals that Riyadh is not currently engaged in aggressive price competition, at least in its most important market.

Since Asia absorbs roughly 80% of Saudi crude exports, this pricing move effectively limits the appeal of Saudi grades for price-sensitive refiners, especially in China and India, and opens the door for rival suppliers to gain ground.

ADNOC expands LNG footprint with $5.5 billion investment in Ruwais project

Abu Dhabi’s national oil company, ADNOC, has made a significant move by approving the final investment decision (FID) for the Ruwais LNG project. This initiative marks a substantial expansion in the United Arab Emirates’ liquefied natural gas (LNG) production capacity. The project, set in Al Ruwais Industrial City within Abu Dhabi’s…

Energy trade remains a casualty of U.S.-China trade tensions

The recent tariff truce between the United States and China may have calmed financial markets and prevented an immediate escalation of economic conflict, but it offers little hope for a meaningful rebound in bilateral trade in energy commodities. Despite the symbolic reduction of tariffs—down to 30% on Chinese imports to the U.S. and 10% on U.S. goods entering China—the structure of the deal leaves key trade barriers in place for American crude oil, liquefied natural gas (LNG), and coal.

While U.S. manufacturers might benefit from a short-term boost as importers rush to take advantage of lower tariffs during the 90-day window, energy producers are unlikely to see similar gains. China’s tariffs on U.S. energy commodities remain high enough to render American cargoes uncompetitive in its market. And crucially, there’s no indication that Chinese state-owned companies will resume large-scale purchases of U.S. energy during the truce period.

Stay informed

error: Content is protected !!