Donald Trump reignites pressure on Apple CEO Tim Cook, warning of a steep import tariff on iPhones made in India, as he pushes for U.S.-based manufacturing amid global production shifts.
Trump Issues Ultimatum to Apple: Build iPhones in the U.S. or Face 25% Tariff
Former U.S. President Donald Trump has delivered a direct warning to Apple and its CEO Tim Cook, stating that the company will face a 25% tariff on iPhones sold in the U.S. if they continue to manufacture them outside the country.
In a post shared on his social media platform Truth Social on Friday, May 23, Trump, 78, revealed that he had previously informed Cook, 64, of his expectation that Apple should produce its flagship product domestically rather than overseas.
“I have long ago informed Tim Cook of Apple that I expect their iPhones that will be sold in the United States of America will be manufactured and built in the United States, not India, or anyplace else,” Trump wrote. “If that is not the case, a Tariff of at least 25% must be paid by Apple to the U.S. Thank you for your attention to this matter!”
Apple has yet to comment on Trump’s latest remarks.
The warning comes amid reports that Apple aims to manufacture the majority of its U.S.-bound iPhones in India by 2026. According to a Reuters report last month, the tech giant is accelerating its shift away from China to navigate current and anticipated tariff pressures.
Previously, about 80% of the iPhones sold in the U.S. were made in China, but Apple’s diversification plan intends to reduce that reliance. Apple currently sells over 60 million iPhones annually in the United States.
However, moving iPhone production to the U.S. could prove economically and logistically daunting. Tech analyst Dan Ives has warned that such a transition could increase the cost of an iPhone to as much as $3,500 due to limited domestic production capacity. He also estimated it would cost Apple $30 billion and take three years to relocate just 10% of its supply chain to the U.S.
Trump’s renewed pressure on Apple follows a conversation he claimed to have had with Cook, during which he reminded the CEO of Apple’s prior pledge to invest $500 billion in the U.S. “But now I hear you’re building all over India. I don’t want you building in India,” Trump reportedly said during an event in Qatar on May 15, as quoted by ABC News.
In addition to his stance on Apple, Trump also warned via Truth Social that the European Union would face a “straight 50% tariff” on goods starting June 1. This declaration came despite his earlier April 9 announcement of a 90-day pause on most international tariffs, excluding China.
Meanwhile, the U.S. and China have recently agreed to de-escalate trade tensions. According to the BBC, American tariffs on Chinese imports will be reduced from 145% to 30%, and Chinese tariffs on certain U.S. goods will fall from 125% to 10%.
As the 2024 election cycle heats up, Trump’s rhetoric on trade and manufacturing is once again dominating headlines—this time with Apple and the global tech supply chain in his crosshairs.