Former U.S. President demands iPhones be produced in the U.S. or face a 25% customs duty.
Former President
Donald Trump has issued a directive via his platform Truth Social, stating that Apple must manufacture iPhones in the United States, rather than in India or elsewhere, or face a tariff of at least 25% on the devices sold in the U.S. During a recent visit to Qatar, Trump reiterated his expectations to Apple's CEO Tim Cook, emphasizing that the company has historically benefitted from favorable treatment in the U.S. market.
Trump noted, "We want you to build here (in the United States)." He expressed his discontent with Apple's investments in manufacturing outside the U.S., specifically mentioning India’s growing role in Apple’s supply chain.
He asserted that manufacturing iPhones in the U.S. should take precedence over establishing additional facilities in India, stating, "It does not matter to us that you are building in India.
India can take care of itself."
In May, Tim Cook indicated that the majority of iPhones sold in the U.S. during the current quarter were expected to be sourced from India.
This shift is attributed to Apple’s strategy to mitigate the impact of a 145% tariff imposed by the U.S. on Chinese-made products, as China has traditionally been the primary location for iPhone manufacturing.
Recently, the U.S. and China agreed to a 90-day pause on additional tariffs, allowing for a temporary relief in trade tensions.
Trump’s comments signal a renewed emphasis on reshoring manufacturing to the U.S., which has been a focal point of his policy agenda.