Trump demands Apple make iPhones in the US or face a 25% tariff

[midian182]

What just happened? Donald Trump has given Apple an ultimatum: build iPhones in the US or pay a tariff of at least 25% on its handsets made outside of the country. The president has long been pushing for a US-made iPhone, despite such a device being a near-impossibility and potentially costing a fortune.

"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," Trump wrote in a post on his Truth Social platform earlier today. "If that is not the case, a Tariff of at least 25% must be paid by Apple to the U.S."

During a business event in the Middle East last week, Trump said he had a "little problem" with CEO Tim Cook over Apple moving more iPhone assembly duties to India. Trump added that following a discussion with Cook in Riyadh, Apple would be "upping their production in the United States." Cook met with Trump again at the White House on Tuesday.

Apple first started producing iPhones in India in 2017. The initial focus was on low-cost models, but the country started assembling flagship lines in 2023.

BREAKING: Apple stock, $AAPL, falls -4% as President Trump says iPhones must be built in the US or they will face a tariff of at least 25%. pic.twitter.com/anyxsdNxjx

– The Kobeissi Letter (@KobeissiLetter) May 23, 2025

With the introduction of the China tariffs – which have been lowered from 145% to at least 30% on most goods – Apple put even more focus on India for its iPhone assembly. Cupertino aims to move all assembly of iPhones destined for the US market from China to India by the end of 2026.

Moving iPhone manufacturing to the US is easier said than done. New models consist of around 2,700 different parts, and Apple uses 187 suppliers in 28 countries, all but 30 of which are located inside China. Around 90% of Apple's iPhone production and assembly is currently based in the Asian nation.

There's also the problem of having enough production sites making iPhone components in the US to meet demand, fewer workers with the required skills compared to China, and the wage differences: US machine operators made an average of $43,000 annually in 2022, while the same profession in Vietnam made less than $5,000 annually. It's also a job that can be hard, monotonous, and depressing, leaving questions over how many Americans would want to take them.

Even if Apple could somehow move the entire process of iPhone manufacturing to the US, doing so would likely take many years, and several economists warn it could lead to iPhones selling at up to three times their current prices.

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Trump demands Apple make iPhones in the US or face a 25% tariff

 

[dangh]

Free market, lol. There is a name for a governing approach where a single politicians tells corporations what they have to do or face consequences.

 

[GodisanAtheist]

It has been humourous watching conservatives/Republicans making *****s of themselves, turning on the dime for big government regulations, anti-free market policies, federal police kicking in doors and kidnapping people, free speech against a genocide punished, and private institutions targeted for not obeying the President's orders (and more!).

Its such an about face of the rhetoric during Obama and Biden's admin that if you didn't already know they were projecting you'd think 77 million people had straight up lost their minds.

 

[The Talking Tech]

More chances of an economic recession something the the Trump supporters would be very proud of.... weirdly enough.

 

[BogdanR]

So Trump is now worse than a Democrat, he is actually a Communist.
The MAGA Cultural Revolution continues.

 

[Xelions]

I'm about to purchase an island and introduce a new tariff on every piece of bullsh#*t that comes out of this dumb c#*ts mouth to my island population of 15,000.

Seriously this guy is as dumb as they f#*k-ing come! You can't make every component in an iPhone anywhere in the world in 1 place

You can assemble it in the U.S.a. but those skilled workers gonna be hard to come by and they'll cost ya too! In the U.S.a. greed is god and that is affecting their ability to manufacture competitively around the world.

Like someone had said already on TechSPOT U.S.a. shot themselves in the foot with manufacture decades ago when they actually did make a lot in house.

Why did that kid try to assassinate him.. I would've shot him in the arse

 

[Haaky]

Trump really has no clue about anything does he?

 

[BabyFaceLee]

Part of me would quite like to see Apple screwed over. They're not easy to like. They need a kick up the rear to shake them up a bit but they'll probably come up with some half-a**ed agreement that'll make little or no difference to anything.

 

[toooooot]

I do not think it is important that they are made here. But I have no doubt that the longer we delay the divorce with China, the harder it will hit in a case we have a military conflict.
Look at Ukraine. 10 years ago nobody would believe that we would have a
full scale war with hundreds of thousands dead and many more injured or traumatized.
I think it is not if, but most likely; when. Us feeding China's growth is weakness of a
coward who feels the threat but tells himself it will be alright.
Make these damn phones and other stuff anywhere, but not in China

 

[BogdanR]

I do not think it is important that they are made here. But I have no doubt that the longer we delay the divorce with China, the harder it will hit in a case we have a military conflict.
Look at Ukraine. 10 years ago nobody would believe that we would have a
full scale war with hundreds of thousands dead and many more injured or traumatized.
I think it is not if, but most likely; when. Us feeding China's growth is weakness of a
coward who feels the threat but tells himself it will be alright.
Make these damn phones and other stuff anywhere, but not in China

The problem is that Trump declared a divorce with everybody. In his infinite wisdom he has threatened some allies and took a sledgehammer to the relationships with the all the others he did not threatened.
So, good luck with the divorce with China. Most other countries will sit this one out. Mind you we have our own problems on top of those ones Trump has created for everyone essentially.
Art of the deal, my derrière!

 

[Jme Kerul]

Trump is a street combinator with no business value
But it's so fun to see how he's taken on ruthless filthy US corporations and I really wish Mango Mussolini strongarm Apple to manufacture their super profitable I things in US.
Jus for the sake that Apple is among the few that has the money to lift US from the manufacturing slump where it is now.

 

[hahahanoobs]

Free market, lol. There is a name for a governing approach where a single politicians tells corporations what they have to do or face consequences.

And free speech. What's the name of someone that tries to kill that?

 

[SRB]

The problem is that Trump declared a divorce with everybody. In his infinite wisdom he has threatened some allies and took a sledgehammer to the relationships with the all the others he did not threatened.
So, good luck with the divorce with China. Most other countries will sit this one out. Mind you we have our own problems on top of those ones Trump has created for everyone essentially.
Art of the deal, my derrière!

The bigger problems is that everyone knows China does not play by the rules and works to undercut US goods, but for some reason, nobody thinks everyone else is doing it as well. Just because a country is not a dictatorship and not antagonistic, does not mean they don't look out for themselves at our expense as well. And not necessarily through tariffs or dumping, such as subsidizing electricity costs to gain an edge (Canada, aluminum), or direct subsidies to a company (E.U., Airbus). I see nothing wrong with a level playing field.

Being allies and sharing similar democracies does not mean they practice fair trade.

 

[Baldrickalpha1]

I do not think it is important that they are made here. But I have no doubt that the longer we delay the divorce with China, the harder it will hit in a case we have a military conflict.
Look at Ukraine. 10 years ago nobody would believe that we would have a
full scale war with hundreds of thousands dead and many more injured or traumatized.
I think it is not if, but most likely; when. Us feeding China's growth is weakness of a
coward who feels the threat but tells himself it will be alright.
Make these damn phones and other stuff anywhere, but not in China

10 years ago Russia already stole crimea, broke several ceasefires, the writing was on the wall there for anyone who looked

 

[BogdanR]

The bigger problems is that everyone knows China does not play by the rules and works to undercut US goods, but for some reason, nobody thinks everyone else is doing it as well. Just because a country is not a dictatorship and not antagonistic, does not mean they don't look out for themselves at our expense as well. And not necessarily through tariffs, such as subsidizing electricity costs to gain an edge (Canada, aluminum), or direct subsidies to a company (E.U., Airbus). I see nothing wrong with a level playing field.

Being allies and sharing similar democracies does not mean they practice fair trade.

No one stops you to make aluminum. Quick, quick, make some new coal powered plants to cover the immense power requirements of aluminum production!!! (/ sarcasm off) There’s a reason why Canada does it, the same reason why cheap Canadian electricity powers most of your North-East and North Midwestern clients. Millions upon millions of clients.

Your reply to my comment misses the point completely. The US cannot take China down a few notches without ALL its (former) traditional allies, especially UK+ EU, Canada, Japan, South Korea and Australia.

So, again, we will let your Economist-in-Chief cry some more about how unfair everyone is, how his land was raped and plundered (his words) and leave this China affair in his capable hands.

By the way he freshly announced a new round of tariffs directed at the EU, all the more reason for that union to sit this one out.

 

[Kashim]

Face a 25% tariff if you don't make the iPhones in the US, or face a 500%+ manufacturing cost increase if you do... Hmm, I wonder which one Apple will choose?

 

[Kashim]

The problem is that Trump declared a divorce with everybody. In his infinite wisdom he has threatened some allies and took a sledgehammer to the relationships with the all the others he did not threatened.
So, good luck with the divorce with China. Most other countries will sit this one out. Mind you we have our own problems on top of those ones Trump has created for everyone essentially.
Art of the deal, my derrière!

The smart way to handle China would've been to cozy up to all of America's friends and allies first, because they're not happy with China either. Then create a coalition of countries against China, something called TPP already does this, which of course Trump promptly exited. After China is handled, then you worry about tariffs and issues with other countries.

Instead of doing all that Trump did the exact opposite. First he turned every country on earth against America and then decided to take on China. Geeze, I wonder how many countries are going to rush to America's aid to squeeze out China!

 

[DrSuess]

Another empty threat from Trump, he can't target lone company and expect that company to not win in court to stop it. An iPhone with a 25% tariff would still be cheaper than an iPhone built in the US.

 

[J spot]

Look at Ukraine. 10 years ago nobody would believe that we would have a
full scale war with hundreds of thousands dead and many more injured or traumatized.

Ten years ago, it was fully predictable and expected that there would a full scale war. You have many people predicting it. You had NATO provoking it.

 

[Kashim]

Another empty threat from Trump, he can't target lone company and expect that company to not win in court to stop it. An iPhone with a 25% tariff would still be cheaper than an iPhone built in the US.

Let me fixe that for you...

An iPhone with a 250% tariff would still be cheaper than an iPhone built in the US.

 

[ScottSoapbox]

Since Trump is so awesome, he should have no problem constructing a high tech factory instantly so his brilliant plan can move forward.

 

[ScottSoapbox]

Ten years ago, it was fully predictable and expected that there would a full scale war. You have many people predicting it. You had NATO provoking it.

Exactly this. American state department and US diplomats were publicly predicting this war in response to NATO expansion and the US overthrowing the elected government in Ukraine for years.