Apple Soars 15% After 90-Day Pause on U.S. Tariffs, Marking Best Day Since 1998
- Sara Montes de Oca
- 22 minutes ago
- 2 min read
Apple shares surged 15% on Wednesday after President Donald Trump announced a 90-day pause on new “reciprocal tariffs,” a move that buoyed investor confidence and lifted markets across the board.
The one-day rally added more than $400 billion to Apple’s market capitalization, bringing its valuation to just under $3 trillion. It was Apple’s strongest single-day performance since January 1998, when Steve Jobs had returned as interim CEO, years before the debut of the first iPod.
The tariff pause offered relief to Apple, which had faced mounting pressure amid escalating trade tensions. Much of the concern stemmed from the fact that Apple still generates the majority of its revenue from physical products—iPhones, iPads, and MacBooks—that are assembled overseas and imported into the U.S.
Apple’s supply chain diversification efforts, particularly its production hubs in India, Vietnam, and Thailand, may now prove critical. The updated tariff structure reduced rates on imports from Vietnam from 46% to 10%, and from India from 26% to 10%, making it easier for Apple to supply U.S. customers from outside China.
While most of Apple’s devices are still made in China, which did not receive any tariff reprieve—in fact, U.S. tariffs on Chinese imports were hiked from 54% to 125%—the new policy may accelerate Apple’s ongoing push to move production elsewhere. On the other side, China responded with an 84% tariff on U.S. goods, increasing the risk of Apple facing headwinds in the Chinese market, its third-largest by sales.
Prior to Wednesday’s rally, Apple had been in the midst of its worst four-day trading streak since 2000. The tariff reprieve helped reverse that trend, as did broader market momentum—tech stocks soared, with the Nasdaq Composite jumping over 12%, its second-best performance on record.
Apple has yet to release a public statement regarding the tariff developments. CEO Tim Cook is expected to provide more insight during the company’s upcoming earnings call on May 1.