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Can Apple Inc. (AAPL) Raise China’s GDP?

CNBC‘s Julia Woods has reported on a recent Bank of America Merrill Lynch report about Apple Inc. (NASDAQ:AAPL), which states that the launch of iPhone 6 could boost Chinese and Taiwanese exports. It is considered a tremendous increase resulting from only one product.Apple AAPL Smartphone

“China is about to see its exports increase one percentage point (0.01%) per month for the rest of 2014 while Taiwan is expected to see a larger initial burst of about 2% for the next few months, and then reverting to one percentage point gain, thereafter for the rest of the year,”  Julia Wood cited the report.

The boost is expected to come from the 80 million units constituting Apple Inc. (NASDAQ:AAPL)’s record initial production run. Furthermore, according to sources, assemblers in China will receive about 50% of the average sale price, that is approximately $300 per unit. The growth resulted from Apple Inc. (NASDAQ:AAPL)’s activities is relatively small – the G-20 member will barely feel the change, whereas Taiwan might see appealing potential in the numbers.

Moreover, according to sources, the Asian Tigers’ manufacturers are willing to provide around $25 in inputs for each Apple Inc. (NASDAQ:AAPL)’s iPhone 6. Also, if it will play ingeniously the advantage provided, Taiwan might see its Gross Domestic Product (GDP) grow forty percentage points by the end of the year. In the case of China, the values for GDP will barely budge. It’s a huge achievement brought by a single product, which already created a lot of discussions and predictions.

To emphasize the grandeur of its release, the phone comes also with bigger displays of 4.7 and 5.5 inch. The larger model will compete more closely with Samsung’s Galaxy Note 4, officially revealed today. Until more precise data are available we’re left with a mystery flavored state of patience. September 9 is the first official date that promises to unveil Apple Inc. (NASDAQ:AAPL)’s secrets at least partially.

Disclosure: none

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