In a post on Truth Social Friday morning, former President Donald Trump warned of imposing a 25% tariff on iPhones unless Apple CEO Tim Cook relocated manufacturing operations to the United States. Nevertheless, the scenario seems to be more complex than the original statement implied.

Later that same day, Trump elaborated to reporters that the anticipated tariff would apply to all smartphones manufactured abroad and sold in the U.S., not exclusively to Apple’s devices. Bloomberg reports that the 25% tariff could be enforced as soon as the end of June. Trump pointed specifically to Samsung—Apple’s largest rival in the U.S. smartphone sector—suggesting that the policy would target multiple firms rather than just one.

This wider strategy is more practical than focusing solely on Apple, as it would pose legal challenges for the administration to impose tariffs on only one company’s products without impacting others in the same sector.

Nonetheless, this isn’t the first occasion Trump has threatened tariffs against specific companies. Earlier this year, he also proposed taking aim at toy manufacturer Mattel. Milan Miric, PhD, an Associate Professor at the University of Southern California’s Marshall School of Business, explained to Mashable how such targeted tariffs might function.

“For Apple, hardware represents their most essential business segment,” Miric stated via email. “Most of their U.S.-based competitors, like Google and Microsoft, are mainly service-oriented and only dabble in hardware. Hence, if you’re looking to target consumer electronics made in China, Apple would bear the brunt more than others.”

Apple’s dependence on hardware sales renders it more susceptible to tariffs than companies with more varied business models. Miric indicated that this recent action could form part of a larger strategy to negotiate trade deals with significant American companies, akin to Trump’s dealings with foreign governments previously.

“One could envision a scenario where large U.S. firms strike a compromise with the government,” Miric noted. “Some of their crucial products might receive exemptions, while tariffs are broadly implemented on foreign competitors—essentially giving American companies a competitive advantage.”

Earlier this year, Apple pledged to invest $500 billion in the United States over the next four years, including plans for a new factory in Texas. However, the likelihood of bringing iPhone manufacturing back to the U.S. remains slim. As reported by Mashable earlier, a domestically produced iPhone could exceed $3,000 in cost.

While the proposed smartphone tariffs could take effect as soon as June, Trump’s trade policies have a history of abrupt changes. Regardless, the financial markets are already responding—both Apple and Samsung experienced declines in their stock prices following Trump’s remarks.