U.S. President Donald Trump on Friday called for a 25% tariff on iPhones manufactured outside the United States, raising concerns about foreign manufacturing and reigniting trade tensions. The statement was posted on Trump’s Truth Social account.
“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. If that is not the case, a Tariff of at least 25% must be paid by Apple to the U.S.,” Trump wrote.
Apple shares fell 3% in premarket trading after the post. The company declined to comment.
Currently, most iPhones are manufactured in China, although Apple has been expanding production in India. Foxconn, one of the company’s major assembly partners, is investing $1.5 billion to grow its Indian operations, according to the Financial Times.
Wall Street analysts have warned that moving iPhone production to the U.S. would dramatically increase consumer prices. Wedbush Securities analyst Dan Ives estimated a domestically produced iPhone could retail for as much as $3,500, compared to the iPhone 16 Pro’s current price of about $1,000.
Trump’s statement follows a recent White House meeting with Apple CEO Tim Cook, as reported by Politico. Apple has pledged $500 billion in U.S. investment, including a major AI infrastructure initiative in Houston.
During its May 1 earnings call, Apple projected $900 million in additional tariff-related expenses for the current quarter. CEO Cook said the long-term impact of tariffs remains “very difficult to predict” beyond June.
On Friday, Apple also increased trade-in offers in China amid slowing demand in that market.
In a separate post, Trump proposed a 50% tariff on products from the European Union, further signaling a tougher trade stance.
According to CNBC, Trump’s latest tariff proposals mark a potential shift toward more aggressive protectionist policies as the 2025 campaign season intensifies.
