Jakarta –
Apple Inc. shares slumped on Thursday (7/9) because the Chinese government banned civil servants (PNS) and public officials from using iPhones.
Reporting from CNBC, Apple’s stock valuation (AAPL) fell by around 3% on Thursday, after slumping 4% the previous day on Wednesday (6/9/2023).
“This policy is speculated to also apply to other agencies such as BUMN and various companies managed by the Chinese government,” quoted from CNBC, Friday (8/9/2023).
Quoted from CNN, it was stated that with the decline in Apple’s share price on the Dow Jones Industrial Average, it fell 2.9%. This made the company lose US$ 200 billion or equivalent to Rp. 3,060 trillion (assuming an exchange rate of Rp. 15,300) within two days. The stock is also in the worst performing category.
Indeed, this ban has not been announced directly by the Chinese government. Thus causing various speculations if these Apple products are trapped in the conflict between China and the United States (US).
From a business perspective, this has a serious impact on Apple. Because the Asia Pacific region, which includes China, Hong Kong and Taiwan, is the third largest market for the company created by Steve Jobs. Contributing more than 18% of Apple’s total revenue which was recorded at US$ 394 million or around IDR 6.042 trillion (assuming an exchange rate of IDR 15,335.
Analyst Toni Sacconaghi predicts that the ban on the use of the iPhone is said to reduce the number of units sold for the smart device by as much as 5%. Sacconaghi also believes that Apple will be threatened if the Chinese government’s policy is captured by residents as a signal to switch to various electronic products belonging to the PRC government.
“Banning the use of the iPhone for government employees can not only have a negative sales impact. But it is a bigger step for the Chinese government to encourage the use of domestic technology,” wrote Sacconaghi.
Moreover, this area is also the assembly place for the majority of Apple products. Dan Siles, Satori Fund Portfolio Manager on Thursday (7/9/2023), even admitted that he had sold his shares in Apple.
Siles assesses that the emergence of this policy has further strengthened the iPhone ban in China, as well as increased Huawei products, which incidentally is a Chinese company. However, until this article was published, Apple did not respond to questions raised by CNBC.
(kilo/kilo)
2023-09-08 03:49:58
#China #Apple #lost #IDR #days
