Whenever any geopolitical situation happens one thing which everyone should observe its collateral damage. It’s been found that conditions like trade war are not suitable for any of the country because it somehow slows down the economy. Currently, the whole world is witnessing a deadly trade war between the world’s two largest nations, and one can say that no one is benefiting out of this dispute. If we look at the side effects then Apple, LG, Huawei, Samsung are those companies which are suffering from collateral damage.
Recently Japan government put a restriction on export of fluorinated polyimide and resist and high-purity hydrogen fluoride (HF) to South Korea. This material is very crucial for smartphone making companies because it’s used to make smartphones and japan supplies more than 70% of this unique material to all mobile manufacturing companies. South Korea and Japan are also facing a trade war situation because of their old rivalry.
Recently South Korea said that Japan should pay them compensation because they were forced by Japanese to work in Nippon Steel during World War II. However, now Japan has made it clear that they are not going to pay any compensation to South Korea; instead, they now have put new trade restrictions. Now because of this trade dispute between South Korea and Japan Apple, Huawei, LG are those companies which might face collateral damage. Apple’s demand for OLED display is vast, and only a single supplier cannot provide it. If both countries continue this trade war, then it’s going to affect Apple’s iPhone production. Apple has decided to invest more money in Japan for the supply of Display because of US trade war with China. However, now, it seems like the current situation still does not bring any good news for Apple.