Trump to Apple: Manufacture iPhones in India and Face 25% Tarif
Trump to Apple: Manufacture iPhones in India and Face 25% Tarif
U.S. President Donald Trump has delivered a sharp warning to Apple, declaring that iPhones sold in America must be made within the United States or the company will face a hefty 25% import tariff.
Taking to his Truth Social platform, Trump revealed he had previously told Apple CEO Tim Cook that iPhones destined for the U.S. market should be assembled domestically, not in India or any other foreign country. “If that is not the case, a tariff of at least 25% must be paid by Apple to the U.S.,” Trump wrote.
The statement rattled investors, with Apple’s stock dropping over 3% in premarket trading on Friday.
🚨 US President Donald Trump threatens fresh 25% tariffs on Apple if they do not stop manufacturing iPhones “in India or anyplace else”. 🤡🙏 pic.twitter.com/MyLW4j5CGu
— Indian Tech & Infra (@IndianTechGuide) May 23, 2025
Apple’s India Operations Under Fire
In recent years, Apple has aggressively scaled up its manufacturing presence in India, aiming to reduce reliance on Chinese factories amid trade tensions and to diversify its supply chain. According to Bloomberg, Apple produced iPhones worth $22 billion in India in the 12 months ending in March—a 60% increase from the prior year. Much of this production takes place at Foxconn’s plant in southern India, with Tata Group also playing a key role after acquiring Wistron’s operations.
While this strategy was designed to reduce risk and expand global production capabilities, it has drawn criticism from Trump. During a recent Middle East visit, he remarked, “I had a little problem with Tim Cook yesterday. He is building all over India. I don’t want you building in India.”
Renewed Focus on U.S. Manufacturing
Trump also claimed that, following their conversation, Apple had agreed to ramp up iPhone production in the United States—a move that could significantly impact the tech giant’s existing manufacturing model. Currently, Apple does not manufacture iPhones in the U.S., relying largely on facilities in China and India for final assembly.
If enforced, Trump’s proposed tariff policy could reshape not only Apple’s manufacturing landscape but also broader global tech supply chains.
