China Decode: Apple Doubles Down on China as Trump Blinks

Tim Cook's recent visit to China, amid ongoing US-China tensions, highlights Apple's deepening reliance on the market despite regulatory pressures. The episode also covers Trump's delay of a Beijing summit with Xi Jinping, framed against the Iran conflict and China's diplomatic positioning, plus a surge in Chinese museums as tools for cultural narrative. Chinese markets slumped on monetary policy fears tied to global events.

Apple's Yielding to Chinese Pressure

Apple's iPhone sales in mainland China rose 23% year-over-year in early 2026, bucking a shrinking smartphone market, with viral appeal for models like the Hermes-orange iPhone 17—its name evoking "success" in Chinese. Tim Cook opened a major store in Chengdu for Apple's 50th anniversary and spoke at the China Development Forum, pledging collaboration without directly addressing criticisms. This follows Apple's cut of App Store commissions from 30% to 25% for Chinese users—below US levels—after People's Daily called it monopolistic, signaling Beijing wants further openness.