The iPhone maker has a good relationship with Beijing and indirectly employs hundreds of thousands of workers in China, factors that could dissuade authorities from taking action against the company.
"China is already facing headwinds as companies such as Apple look to diversify their manufacturing base," Neil Shah, research director at Counterpoint Research, told CNBC. "So it could be a double whammy if China targets Apple in China and indirectly Foxconn, it would further accelerate the manufacturing to outside of China."
"Apple has huge direct and indirect contribution to the Chinese economy. So Beijing will have to think twice before targeting Apple," Shah said.Apple has also forged a good relationship with authorities in Beijing, according to Paul Triolo, head of Eurasia Group's geotechnology practice. It's not the first time Apple has been caught in the middle of a battle between Washington and Huawei. Last year, after Huawei as put on the U.S. Entity List in May, some social media citizens in China rallied behind the company and said they would. But that social media backlash didn't appear to have a huge effect on the company.
Apple said at the time that it removed the mapping app because it "has been used in ways that endanger law enforcement and residents in Hong Kong" and has been "used to target and ambush police."from it Chinese App Store. VPNs are required to access sites that are blocked in China such as Google and Facebook.
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Why The Trump Administration Could Start Paying Businesses To Pull Out Of ChinaI am a breaking news reporter for Forbes in London, covering Europe and the U.S. Previously I was a news reporter for HuffPost UK, the Press Association and a night reporter at the Guardian. I studied Social Anthropology at the London School of Economics, where I was a writer and editor for one of the university’s global affairs magazines, the London Globalist. That led me to Goldsmiths, University of London, where I completed my M.A. in Journalism. Got a story? Get in touch at isabel.togohforbes.com, or follow me on Twitter bissieness. I look forward to hearing from you.
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