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Former President Donald Trump has reignited trade tensions by threatening Apple, Samsung, and other tech giants with a potential 25% tariff on iPhones and similar products sold in the US. This ultimatum hinges on shifting manufacturing operations back to American soil.
Trump’s Truth Social Ultimatum
In a post on Truth Social, Trump stated, “I have long ago informed Tim Cook of Apple that I expect their iPhone’s 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. Thank your for your attention to this matter!” This demand underscores his “America First” approach, pushing for domestic job creation.
Expanding the Scope: Samsung and Beyond
Trump later clarified that the proposed tariff wouldn’t solely target Apple. Speaking to reporters, he asserted that the levy would extend to Samsung and any other company producing similar products, ensuring a level playing field. The potential implementation date is slated for the end of June, adding urgency to the matter.
Apple’s Global Manufacturing Footprint
Apple has been actively diversifying its production locations, particularly to India, driven by factors like COVID-19 disruptions and US-China trade friction. Recent reports indicate that Foxconn, Apple’s primary manufacturer, is investing $1.5 billion in a Chennai, India plant to produce iPhone displays.
Trump addressed Apple’s move to India, stating, “He 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 into here without tariffs, and that’s the way it is.”
Economic Realities and Industry Skepticism
Despite Apple’s pledge to invest $500 billion in the US over the next four years and Tim Cook’s personal investment in Trump’s inauguration, industry experts remain skeptical about the feasibility of a fully “Made in America” iPhone. The complexities of the global supply chain and cost considerations pose significant challenges.
Keywords: Apple, Donald Trump, Tariffs, iPhone, Samsung, Manufacturing, Trade, US, India, Tim Cook, Foxconn, Truth Social, Trade War