President Donald Trump has warned Apple that it may face a 25% tariff if it doesn't start building iPhones in the United States.
The message was shared Friday on his Truth Social platform and follows Apple's recent move to expand production in India.
"I have long ago informed Tim Cook of Apple that I expect their iPhones that will be sold in the United States to be made here, not in India or anyplace else," Trump wrote. "If that is not the case, a tariff of at least 25% must be paid by Apple."
This new pressure comes after a recent White House meeting between Trump and Apple CEO Tim Cook.
Though the exact discussion remains private, the tariff threat suggests the topic was serious. Trump has often pushed for American companies to return jobs and factories to the US.
Apple mostly builds its phones in China and India. This week, Foxconn, a key supplier for Apple, announced plans to invest $1.5 billion in expanding its operations in India, CBS News said.
More than half of iPhones sold in the US are now made there, according to Apple's latest earnings report.
🚨TRUMP TO APPLE: Build iPhones in the U.S. or Face 25% Tariff. pic.twitter.com/nhhDAiePjR
— Heba✯ (@Hebaie) May 23, 2025
Apple's $500B US Investment Plan Grows
Apple CEO Tim Cook revealed that US tariffs could cost the company as much as $900 million this quarter. Apple's shares dropped 2.6% on Friday, and the wider stock market also saw losses.
Trump's new proposal wouldn't just affect Apple. He said other smartphone makers, like Samsung, would also face the same 25% tariff if they don't move production to the US. "It would be also Samsung and anybody that makes that product," he told reporters.
According to CNN, Apple has started investing in the US, including a $500 billion plan to grow its American operations.
Apple is investing in a new server factory in Texas and expanding its data centers. However, the company has not announced any plans to move iPhone production to the US.
Tech expert Dan Ives says building iPhones in America would be nearly impossible. "The concept of Apple producing iPhones in the US is a fairy tale that is not feasible," he said.
The process would take years and could make high-end iPhones cost as much as $3,500.
Many experts agree that higher tariffs might only raise prices for consumers and hurt companies, without bringing jobs back quickly.
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