In the last few years, Apple’s business has been booming in China, its second-biggest market after the US. Many experts wondered how this was possible amid mutual confrontations and trade wars between the two countries. The secret behind Apple’s success lies in a deal with Chinese officials signed by Tim Cook years ago. According to sources familiar with the matter, the chief executive of Apple struck the deal with the Chinese government in 2016. The five-year agreement is estimated to be worth more than $275 billion. Apple reportedly promised to contribute to the development of China’s economy. Notably, the agreement with the National Development and Reform Commission was not reached immediately. In 2016, Apple faced a sudden burst of regulatory action from Chinese authorities. Having suffered from this crackdown, the American phone manufacturer decided to sweeten relations with Chinese leaders. Shortly after the agreement was signed, Apple officially announced a $1 billion investment in Didi Chuxing, Uber’s rival in China. The same year, Tim Cook made a deal with China's largest wind turbine maker, Xinjiang Goldwind Science and Technology. As part of the agreement, Apple promised to collaborate on technology with Chinese scientists and use more components from local suppliers. To secure its stable position in the country, Apple further committed to growing “together with Chinese enterprises to achieve mutual benefits and a win-win situation.”
