8/5/2022, 12:39 PM (Source: TeleTrader)
more TeleTrader news

Apple alerts suppliers about China's labeling rule - report

Apple asked suppliers to ensure shipments from Taiwan to China comply with Chinese customs rules, Nikkei Asia reported on Friday, citing sources familiar with the matter. Under the regulation, Taiwan-made components must be labeled as having been made in "Taiwan, China" or "Chinese Taipei" to indicate the island is part of China.

The report comes after United States House Speaker Nancy Pelosi's recent visit to Taipei fueled concerns of rising trade barriers. Apple informed its suppliers that China began enforcing the rule while at the same time urging them to deal with the matter to avoid potential disruptions.

According to the sources, penalties for breaking such a rule are a fine of up to ¥4,000 ($592) or, in the worst scenario, refusal of the shipment. The phrase "Made in Taiwan" on declaration forms or documents could result in shipments being retained and inspected by Chinese customs.

Baha Breaking News (BBN) / JG