WANG ZHAO / AFP / Getty Images
Apple (AAPL), which had been the world’s most valued public company, lost that title on Tuesday. The stock dropped the day before tariffs on Chinese imports would take effect.
Apple shares fell by 5% on Tuesday. The market capitalization of the iPhone maker is now less than $2.6 trillion. Microsoft (MSFT) has a $2.65 trillion market capitalization.
Apple shares have lost more than a fifth of the value they had in the four sessions following President Trump’s announcement that he would raise the tariff rate for Chinese goods by 34% beginning April 9. Trump announced that after China responded last Friday with its own tariff of 34% on U.S. products, he would increase the tariff rate on Chinese goods by an additional 50%.
Apple, which assembles an estimated 90% of its products in China, won exemptions during the first Trump administration's U.S.-China trade war. It's had no such luck this time around.
Concerns about the company’s dependence on China has made its stock one of the worst performers among the Magnificent Seven over the last seven days. Tesla (TSLA), second-worst in the group, has dropped about 21.5% since Trump announced his tariffs. Amazon (AMZN), Nvidia(NVDA), Meta Platforms (META), and Alphabet (GOOG), have all fallen between 12%-13% during the same time period. Microsoft and Alphabet have also declined 7.7% and 7.2% respectively.
Apple's slump has wiped nearly $775 billion off the company's market value. That's more than Tesla's market cap and greater than those of all but seven U.S. companies (including Apple itself).
