Trump threatens Apple with 25% tariff on iPhones made outside US

President Donald Trump has warned Apple that it must shift iPhone production to the United States or face steep tariffs.

In a post on Truth Social on Friday, Trump said the company could be hit with a 25% tariff if it continues to manufacture iPhones abroad.

“I have long ago informed Tim Cook of Apple that I expect their iPhones 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.

If that is not the case, a Tariff of at least 25% must be paid by Apple to the U.S.”

Trump’s comments follow Apple’s ongoing expansion of production in India.

During a recent earnings call, Apple CEO Tim Cook stated, “The majority of iPhones sold in the US will have India as their country of origin.” Trump reportedly expressed frustration over this development during a meeting with Cook in the Middle East last week.

I had a little problem with Tim Cook,” Trump said during a stop in Qatar. “I said to him, ‘Tim, you’re my friend. I treated you very good. You’re coming in with $500 billion.’ But now I hear you’re building all over India. I don’t want you building in India.’”

While Trump has long criticised American companies for outsourcing jobs, Apple argues that reshoring production isn’t feasible. The company cites a shortage of skilled labor in the U.S. and significantly higher costs. Cook acknowledged in the same earnings call that Apple could face a tariff burden of up to $900 million this quarter.

The vast majority of iPhone production, about 90% still occurs in China, according to estimates from Wedbush Securities.

Though Trump recently reduced some tariffs on Chinese goods to 30%, a 10% universal tariff remains on most imports.