Huawei, Apple, and the U.S.-China Trade War

Sarah Abdulwahid, Contributing Writer

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Due to the continuing economic trade war between China and the United States, technology companies have been suffering great consequences, while others are experiencing significant growth. It remains to be seen whether the trade war continues to escalate, with arrests and tariffs on both sides, or whether the two countries resolve some of their economic disputes.

Perhaps no major company has suffered as much recently as Apple. In recent months, its stock price has been down by double-digit percentages. In comparison to 2017, Apple’s sales decreased by 7% in 2018. The largest contributing cause was overpricing in China. As a result, Huawei, a rising Chinese technology company, has soared in sales and expects to overtake Apple in the global market. According to TrendForce, Apple’s market share will decrease to 13 percent in 2019, while Huawei’s market share is nearing 16 percent. Apple has taken preventative measures, including price cuts on the iPhone XR and the return of the iPhone X.