Trump threatens 25% import tax on Apple unless iPhones are made in US
American President Donald Trump has threatened to put a 25% tariff on Apple products unless iPhones are manufactured in the US.
Mr Trump also threatened a 50% tax on all imports from the European Union.
The threat delivered over social media could dramatically increase the price of iPhones, potentially hurting sales and the profits of one of America’s leading technology companies.
The company now joins Amazon, Walmart and other major companies as being in the White House’s crosshairs as they try to respond to the uncertainty and inflationary pressures unleashed by the import taxes being imposed by Mr Trump.
Mr Trump posted on Truth Social: “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.
“If that is not the case, a Tariff of at least 25% must be paid by Apple to the US.”
In response to Mr Trump’s tariffs on China, Apple, led by chief executive Tim Cook, was looking to shift iPhone manufacturing to India as it adjusts supply chains.
That plan has become a festering source of frustration for the US leader, who also brought it up last week during his Middle East trip.
Mr Trump said he wants to charge higher import taxes on goods from the EU, a long-standing US ally, than from China, a geopolitical rival that had its tariffs cut to 30% this month so Washington and Beijing could hold negotiations.
Mr Trump was upset by the lack of progress in trade talks with the EU, which has insisted on cutting tariffs to zero even as the president has publicly insisted on preserving a baseline 10% tax on most imports.
“Our discussions with them are going nowhere!” the US leader posted on Truth Social.
“Therefore, I am recommending a straight 50% Tariff on the European Union, starting on June 1, 2025. There is no Tariff if the product is built or manufactured in the United States.”