India emerges as Apple's factory,  but can the U.S. handle it?

US President Donald Trump warns Apple of 25% tariffs if iPhones are not manufactured in the USA. His statement on Truth Social targets Apple's strategy of producing in India, amid US-China trade issues.

Apple

Representational image (AI)

time

In a bold and potentially market-shaking declaration, US President Donald Trump has warned Apple of severe tariffs if the tech giant continues to manufacture iPhones outside the United States. Taking to his platform Truth Social, Trump stated that Apple must produce iPhones for the American market within the country’s borders or face a minimum 25% tariff on all imported devices.

“Not India, or Anyplace Else” – Trump’s Stern Message

“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 posted.

His comments directly target Apple’s global supply chain strategy, particularly its expanding presence in India, which has become a central manufacturing hub for iPhones in recent years.

India: Apple’s New Manufacturing Hub

Apple has made significant moves to reduce its dependency on China by ramping up iPhone production in India. In the last financial year, Apple produced smartphones worth $22 billion in India — a 60% increase from the previous year. This expansion was part of a broader plan to mitigate risks associated with U.S.-China trade tensions.

Trump Doubles Down During Middle East Visit

Speaking in Qatar, Trump reiterated his disapproval of Apple’s manufacturing shift to India. “He is building all over India. I don’t want you building in India,” he said, referencing Apple CEO Tim Cook. Trump insisted that Apple should “up their production in the United States,” reminding reporters of their earlier conversation.

Apple’s U.S. Commitments Remain

Despite the criticism, Apple has already pledged a massive investment of over $500 billion in the United States over four years, alongside the hiring of 20,000 new employees. However, whether this satisfies Trump's demands remains uncertain.

A Renewed Tech-Trade Tussle

Trump’s threat signals a revival of his aggressive trade stance, particularly targeting tech giants with global manufacturing bases. For Apple, the 25% tariff threat could mean higher iPhone prices, reshuffling supply chains, or accelerated investment in U.S. production.

Next story