Apple cuts sales forecast as China slowdown bites

Shares in the California-based tech giant fell 8% in after-hours trading after Mr Cook said it expected revenues of around $84bn in the three months to 29 December, down from previous guidance of between $89bn and $93bn.

Mr Cook said that while Apple had expected challenges in key emerging markets, it “did not foresee the magnitude of the economic deceleration, particularly in Greater China”.

He pointed to slowing growth in the world’s second-biggest economy, adding: “We believe the economic environment in China has been further impacted by rising trade tensions with the United States.

“As the climate of mounting uncertainty weighed on financial markets, the effects appeared to reach consumers as well, with traffic to our retail stores and our channel partners in China declining as the quarter progressed.

“And market data has shown that the contraction in Greater China’s smartphone market has been particularly sharp.”