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Trump to Apple: Build iPhones in America or Face 25% Tariff Threat

Rajeshwari R by Rajeshwari R
May 23, 2025
in World
Reading Time: 3 mins read
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Trump to Apple: Build iPhones in America or Face 25% Tariff Threat

Trump to Apple: Build iPhones in America or Face 25% Tariff Threat

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In a bold move that could reshape Apple’s global manufacturing strategy, former U.S. President Donald Trump has warned Apple CEO Tim Cook that iPhones sold in the United States must be produced domestically—or face hefty tariffs. Trump’s statement, delivered via his Truth Social platform, signaled a clear push for reshoring American manufacturing and put Apple’s growing investment in India under fresh scrutiny.

“I told Tim Cook a long time ago: if you’re going to sell iPhones in the U.S., you’d better build them here,” Trump wrote. “Otherwise, a 25% tariff is the minimum they’ll be paying.” The former president’s remarks triggered an immediate market reaction, with Apple shares falling more than 3% in pre-market trading.

The warning comes as Apple aggressively expands its manufacturing footprint in India, seeking to reduce its dependency on Chinese factories amid geopolitical tensions and past trade restrictions introduced by Trump’s own administration. While Apple has yet to comment on Trump’s remarks, the company has made significant strides in India, assembling over $22 billion worth of iPhones there in the past year alone—a nearly 60% increase from the previous year.

Trump, while on a recent Middle East tour, criticized Apple’s move to India. “Tim Cook is massively manufacturing in India. I don’t like that,” he said, hinting that their ongoing discussions may push Apple to ramp up U.S.-based production instead.

Currently, the bulk of iPhone production still occurs in China, with India’s Foxconn, Tata Group, and Pegatron handling a growing share of global assembly. Apple has been investing in Indian manufacturing to mitigate risks from Chinese supply chain disruptions, particularly those highlighted during the COVID-19 pandemic.

Trump’s renewed protectionist stance casts uncertainty over Apple’s international expansion strategy. With the possibility of steep import tariffs looming, the tech giant may be forced to reassess the balance between global efficiency and political expectations.

As the 2024 election approaches and trade policy returns to the political spotlight, the future of Apple’s supply chain—and the broader tech manufacturing landscape—could hinge on whether Trump’s tough talk becomes policy once again.

Tags: AppleCEODonald TrumpiPhonesTata GroupUSA

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