Feed: Engadget is a web magazine with obsessive daily coverage of everything new in gadgets and consumer electronics
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Title: Trump threatens 25 percent tariff on iPhones manufactured overseas

Date: Fri, 23 May 2025 15:57:28 +0000
Link: https://www.engadget.com/big-tech/trump-threa...

President Donald Trump has escalated pressure on Apple to manufacture iPhones
for the American market domestically. In a post on Truth Social Friday
morning, the president explicitly warned that he would recommend a 25 percent
tariff be applied to any iPhones sold in the United States that were
manufactured outside the country.

"I have long ago informed Tim Cook of Apple that I expect their iPhoneΓÇÖs
that will be sold in the United States of America will be manufactured and
built in the United States, not India, or anyplace else. If that is not the
case, a Tariff of at least 25% must be paid by Apple to the U.S.,ΓÇ¥ the
president wrote.

His reference to India was in response to continued reporting that Apple has
been considering shifting all US-bound iPhone production to India in order to
avoid trade instability with China brought on by tariffs.

Apple trialed low-volume production of iPhones in India in 2017 with the
iPhone SE. The company began ramping up production in India throughout
subsequent years, and now plans to accelerate that expansion. CEO Tim Cook
clarified during the companyΓÇÖs most recent earnings call that the majority
of iPhones sold in the US during the coming quarter would be sourced from
India.

Apple has been careful in managing its relationship with the Trump
administration, pledging investments in the United States that align with the
presidentΓÇÖs goals, and inviting Trump to "open" a manufacturing facility in
Texas that had actually been producing Mac Pros for years. Apple CEO Tim Cook
also donated $1 million to the presidentΓÇÖs inauguration fund and attended
the event.

Analysts have said that an iPhone made in America could cost upwards of 25
percent more from increased labor costs alone. Labeling a product as "Made in
the USA" requires meeting standards set by the FTC, and it's uncertain
whether Apple could meet that standard without drastically increasing the
cost of its products.

This article originally appeared on Engadget at https://www.engadget.com/big-
tech/trump-threatens-25-percent-tariff-on-iphones-manufactured-overseas-
155728995.html?src=rss

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