Trump threatens 25% tariff on Apple iPhones made outside U.S., escalating trade pressure over India shift

Apple’s efforts to diversify its supply chain may be heading into political crosshairs once again. Former President Donald Trump ignited a new wave of controversy on Friday by threatening hefty tariffs on iPhones not made within the United States—underscoring how deeply trade policy could shape the future of tech manufacturing if he returns to office.

The comments, delivered on his social platform Truth Social, were aimed directly at Apple CEO Tim Cook, who had earlier confirmed that production for most U.S.-bound iPhones will soon shift to India. The decision aligns with Apple’s broader goal to reduce dependency on China, but it has now drawn the ire of Trump, who warned that iPhones manufactured outside U.S. borders may face tariffs of at least 25%.

Trump’s message wasn’t subtle. “I expect iPhones sold in the USA to be made here—not in India, not anywhere else,” he wrote. His remarks followed an official visit to Qatar, where he reportedly criticized Apple’s India expansion during closed-door talks with foreign dignitaries.

Apple’s move to scale up Indian production has been in motion for years, with its primary partner Foxconn recently committing an additional $1.5 billion to its operations in the region. A new display component facility in Chennai is expected to support this ramp-up, further entrenching Apple’s presence in the country.

But Trump’s tariff talk spooked investors. Apple shares slid 3% in pre-market trading following his remarks, as markets digested the potential disruption to Apple’s long-standing global manufacturing strategy. Analysts say a sudden shift to U.S.-based production would not only be financially burdensome but nearly impossible to execute in the short term. A report from Wedbush suggests that relocating iPhone assembly stateside could balloon the cost of a single device to over $3,000 and take nearly a decade to fully implement.

More than just a corporate logistics challenge, the situation underscores the mounting intersection between tech operations and geopolitics. Apple, like many multinationals, has spent years building an intricate, Asia-centric supply chain optimized for scale and efficiency. Trump’s statement raises new questions about how that model might evolve if nationalistic trade policies re-emerge as a dominant force in 2025 and beyond.

The broader implications are significant. If Apple is pressured into reshoring production, it could trigger ripple effects across the tech industry—from pricing and consumer access to labor demand and international partnerships. It also adds fuel to a wider debate about America’s manufacturing capabilities and the feasibility of high-tech hardware production on U.S. soil.

For now, Apple has declined to issue a formal response. But with iPhone 16 set to be one of the most India-assembled models yet, the company may be forced to balance its global ambitions with an increasingly uncertain domestic political climate.