25% Tariff on Apple: Former US President Donald Trump has warned Apple that it must make iPhones in the United States or face a 25% tariff. Trump shared this threat on his social media platform, Truth Social, saying that any iPhones sold in the US but made in India or other countries should be taxed heavily.
Trump said he had already told Apple’s CEO, Tim Cook, that Apple must make and build iPhones sold in America within the US—not in India or any other country. He added that if Apple ignores this rule, the company must pay a 25% tariff on those products.
Apple has started shifting some iPhone production to India as part of its strategy to reduce reliance on China. Tim Cook said that Apple would ship many iPhones from India to the US in the coming months. However, Trump strongly opposes this move and insists that Apple should manufacture the phones only in the US.
This threat led to a 4% drop in Apple’s stock price during early trading. If Apple faces a 25% tariff, it will likely raise iPhone prices for American customers. This could reduce Apple’s sales and profits, since the company would either absorb the tax or pass the cost to consumers.
During a recent trip to the Middle East, Trump said he had a “little problem” with Tim Cook because Apple continues to invest in India and build products there. Trump made it clear that he doesn’t support Apple building iPhones in India if the company wants to sell them in the US, although he’s fine with Apple selling India-made iPhones withi
n India.
Despite Trump’s comments, Apple has stated that it plans to continue its investment in India and use it as a key manufacturing base. This issue highlights the tension between global business strategies and political pressure on companies to make products domestically.
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