President Donald Trump has escalated his ongoing conflict with Apple CEO Tim Cook, now threatening a 25 percent tariff on the tech behemoth if it persists in producing iPhones outside the United States.
Trump has consistently expressed his disapproval of Apple making its devices in nations like China and India. In a recent update on Truth Social, the former president laid down a clear ultimatum to Cook: relocate iPhone production to the U.S. or encounter hefty tariffs.
“I previously notified Tim Cook of Apple that I expect their iPhones sold in the United States to be manufactured and assembled in the United States, not in India or anywhere else,” Trump stated. “If that is not the situation, Apple must pay a Tariff of at least 25% to the U.S.”
Historically, Apple has depended heavily on China for most of its manufacturing, but in recent years, the company has been relocating production to India. Reports indicate Apple aims to produce all U.S.-bound iPhones in India by 2026.
Last week, Trump informed reporters that he had directly communicated his frustrations to Cook. “I said, ‘Tim, listen, we’ve treated you very well. We tolerated all the factories you built in China for years. Now you need to produce for us,’” Trump mentioned, according to CNBC. “‘We’re not interested in you manufacturing in India. India can manage on its own. We want you to manufacture here.’”
Trump’s recent statements indicate he is prepared to take concrete measures against Apple if the company does not comply with his requests. However, shifting iPhone production to the U.S. would likely present logistical and financial hurdles for Apple. Analysts anticipate that a completely U.S.-made iPhone could cost consumers around $3,000 — and possibly significantly more — due to elevated labor and infrastructure expenses. Some experts even doubt the practicality of such a shift, given the time and investment needed to create a domestic supply chain.
Earlier this year, Apple revealed plans to invest over $500 billion in the U.S. over the next four years. This encompasses constructing a new manufacturing facility in Texas and enhancing training programs and infrastructure for American workers. Despite this major pledge, Trump seems dissatisfied, continuing to urge the company to relocate all iPhone production back to the U.S.