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TechCheck

Tim Cook's China tightrope act 10/15/25

TechCheck

CNBC

Management, Cnbc, Tech, Faang, Investing, Business, Disruptors, Technology

4.566 Ratings

🗓️ 15 October 2025

⏱️ 7 minutes

🧾️ Download transcript

Summary

New data shows Apple shipments beginning to turn around in China up from a year ago, right as CEO Tim Cook is set to visit the all-important market. We dig into the news and how Apple is diversifying its supply chains amid simmering U.S., China tensions.

Transcript

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0:00.0

Apple's starting to see a turnaround in China, according to new data from IDC.

0:04.1

Shipments ticking up less than a percent from last year as CEO Tim Cook visits that all-important

0:09.9

market this week. Steve Kovac has more in today's tech check. Steve.

0:14.4

Yeah, Leslie, building on some momentum we saw in the last earnings report, but look,

0:17.6

Tim Cook is now this week on one of his regular tours of China.

0:24.8

That's Apple's most important market outside of the United States, of course. And sure,

0:29.2

he got that custom-made Labou. Look how cute that thing is, which sent shares of Pop Mart soaring yesterday and kind of broke the internet for a bit there. But he's also there to play

0:34.2

politics and promote Apple's new iPhone 17 lineup. All as Apple's China's business

0:39.5

is showing some early signs of turning around thanks in part to government subsidies that effectively

0:44.7

discount some of the lower end iPhones. And we're already seeing evidence that's driving sales

0:49.5

for the base model of the iPhone 17 in China. So look, you have Cook here playing it both ways.

0:55.3

As state media reported, Cook promised new investments in China, though didn't get many

0:59.9

specifics out of that report. He's also working to move more manufacturing outside of China

1:04.9

to avoid the worst of President Trump's tariffs. Over the last several hours, we've seen more

1:09.5

evidence of Cook cooks moving away from

1:11.7

China. For example, Reuters reporting Apple is lobbying to change a tax law to get a break on

1:17.0

manufacturing equipment and Bloomberg reporting that upcoming gadgets like a security camera

1:21.9

and tablet for controlling smart appliances will be made in Vietnam. And that all tracks with

1:27.4

the vision Cook laid out

1:28.5

back in May when the terror threat was at its worst for Apple. So over time, Apple plans to move

1:34.3

as much of its production for U.S.-bound iPhones to India, and it is working. For example,

1:39.9

Jeffrey's analysts this week estimated only about 9 million iPhones in the U.S. will come from China this year.

...

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