Trump Threatens Apple with 25% Tariff on Foreign-Made iPhones – What It Means for Consumers

 By: Manoah kikekon 

iPhone 15

U.S. President Donald Trump has warned Apple of a potential 25% import tariff on iPhones manufactured outside the U.S., escalating his push for domestic production. 

In a post on Truth Social, Trump stated he had previously informed Apple CEO Tim Cook that iPhones sold in America should be "manufactured and built in the United States, not India, or anyplace else."  

Trump’s latest threat reinforces his long-standing demand for Apple to shift iPhone production to the U.S. He warned that failure to comply could result in a 25% tarif, significantly increasing costs for the tech giant.  

"If that is not the case, a tariff of at least 25% must be paid by Apple to the U.S.," Trump declared.  

Industry experts argue that relocating iPhone manufacturing would require massive investments and could dramatically raise smartphone prices. Apple has spent decades building a vast supply chain in Asia, with major production hubs in China, India, and Vietnam.  

China Dominates iPhone Production, Most iPhones are assembled in Chinese factories run by Foxconn and Pegatron.  

India & Vietnam Expansion, Apple has recently increased production in India and Vietnam to diversify supply chains post-COVID.  

If enforced, Trump’s proposed tariff could lead to:  Higher iPhone costs for U.S. consumers, Pressure on Apple to absorb costs or pass them to buyers, Potential delays in shifting production to the U.S.

 

While Trump’s tariff threat is not yet policy, it signals a potential trade battle if he returns to office. Apple may face tough decisions:  Invest in U.S. manufacturing facilities (costly and time-consuming). Absorb tariff costs (impacting profits). Lobby against the policy (seeking exemptions)  

Trump’s latest move puts Apple in a difficult position. With global supply chains deeply entrenched in Asia, a sudden shift could disrupt production and inflate prices. Consumers may soon find out whether "Made in the USA" iPhones become a reality or if they’ll be paying a premium for foreign-made devices.