On May 24, former US President Donald Trump warned Apple, Samsung, and other smartphone manufacturers that they could face a tariff of at least 25% if they don’t move production of devices like the iPhone back to the United States. Speaking through a post on Truth Social and later to reporters at the White House, Trump clarified that he wants devices sold in the US to be made in the US.
Trump wrote, “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 anywhere else. If that is not the case, Apple must pay a Tariff of at least 25% to the US. Thank you for your attention to this matter!”
He later expanded the warning to include other companies, such as Samsung, stating that the new tariffs would take effect at the end of June. “It would also be Samsung and anybody that makes that product. Otherwise, it wouldn’t be fair,” he said.
India plays a bigger role in iPhone production
Trump’s comments come just after he shared that he had “a little problem with Tim Cook,” Apple’s CEO. This followed reports that Apple plans to manufacture all its US-bound iPhones in India, a shift that would significantly increase Apple’s production in the country.
Just a day before Trump’s remarks, the Financial Times reported that Foxconn—Apple’s leading manufacturing partner—is building a $1.5 billion factory in Chennai, a city in southern India. This facility will focus on making iPhone displays, part of Apple’s long-term plan to reduce its dependence on Chinese factories.
While speaking to reporters, Trump clarified his position again: “He [Tim Cook] said he’s going to India to build plants. I said, that’s okay to go to India, but you’re not going to sell here without tariffs, and that’s how it is.”
India is currently subject to a 10% global baseline tariff for smartphone imports to the US. Conversely, China faces a 30% rate, which could increase in August after a temporary reduction ends. Many of Apple’s products are exempt from these tariffs, but the trade uncertainty has encouraged Apple to expand its manufacturing beyond China.
Experts doubt a ‘Made in America’ iPhone is realistic
Apple has committed to investing US$500 billion in the United States over the next four years. CEO Tim Cook also personally contributed US$1 million to Trump’s inauguration fund. However, experts agree that building iPhones entirely in the US isn’t practical.
The production process for iPhones involves a wide global supply chain and specialised skills that are more readily available in places like China and India. The late Steve Jobs reportedly told then-President Barack Obama in 2011, “Those jobs aren’t coming back.”
Despite this, Trump appears ready to use tariffs to pressure companies into moving production. With a possible return to the White House in the next election, these statements could influence how tech companies plan their future manufacturing strategies.
