- Trump Threatens 25% Tariff on Apple iPhones Not Made in the U.S.(The Guardian)
- Former President Donald Trump has issued a stark warning to Apple, threatening to impose a 25% tariff on iPhones not manufactured within the United States. This announcement comes amid escalating trade tensions and aims to pressure Apple into relocating its production facilities from countries like India and China to American soil.(MarketWatch)
In a post on his Truth Social platform, Trump stated, “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. If that is not the case, a Tariff of at least 25% must be paid by Apple to the U.S.” (The Guardian)
Trump’s stance extends beyond Apple, as he indicated that other smartphone manufacturers, such as Samsung, would also be subject to similar tariffs if they do not shift production to the U.S. He emphasized, “It would be more, it would be also Samsung and anybody that makes that product, otherwise it wouldn’t be fair.” (The Times of India, Axios)
The implications of such tariffs are significant. Analysts suggest that relocating iPhone production to the U.S. could dramatically increase costs, potentially raising the price of an iPhone to as much as $3,500, compared to the current average of $1,200. This price surge could impact consumer demand and Apple’s market share.(Reuters)
Apple has been gradually shifting some of its production to India, aiming to manufacture a majority of U.S.-bound iPhones there by 2026. However, Trump’s proposed tariffs could disrupt these plans, forcing the company to reconsider its global manufacturing strategy.(People.com)
The tech giant has yet to respond publicly to Trump’s threats. However, the company’s shares experienced a decline following the announcement, reflecting investor concerns over potential cost increases and supply chain disruptions.
This development is part of a broader pattern of Trump’s protectionist trade policies, which have included threats of significant tariffs on European Union goods. The former president’s approach aims to bolster domestic manufacturing but has faced criticism for potentially increasing consumer prices and straining international trade relations.
As the situation unfolds, stakeholders across the tech industry and global markets will be closely monitoring Apple’s response and the potential economic ramifications of these proposed tariffs.
