Trump Presses Apple to Manufacture iPhones in the US with 25% Tariff Threat

US President Donald Trump is reviving a long-held goal of bringing iPhone production back to the United States. He threatened Apple CEO Tim Cook with a 25% tariff on smartphone companies unless they manufacture phones sold in the US stateside, citing the need for American jobs and rebalancing unfair trade practices.

Trump’s push comes four years after then-President Barack Obama pressed Steve Jobs on the same issue, which is now more pressing due to China’s sprawling electronics assembly system. Apple CEO Tim Cook previously stated that most iPhones sold in the US would be shipped from India, sparking Trump’s renewed attention to the matter.

Industry experts say shifting iPhone production to the US is challenging due to specialized workforce and skills needed to produce millions of iPhones annually. The result could lead to price hikes or design changes for the iPhone, as some analysts estimate. Apple did not comment on whether it plans to shift production to the US.

The company has invested $500 billion in growing its US footprint over four years, mainly through research and development efforts and launching a Detroit academy to teach smart manufacturing techniques. However, experts point out that Apple’s academy is for small-to-medium businesses, not workers or building infrastructure to produce iPhones as done in China or India.

Cook acknowledged the gap in labor required to produce iPhones in the US, citing the need for a combination of “craftsman” skills, sophisticated robotics, and computer science expertise. Some companies have successfully shifted production to the US with automation and training programs, but experts estimate it could take five years for Apple to make significant changes.

The challenge lies in addressing the critical component supply chain, as many suppliers are based in China. Transitioning just for assembly would shift further away from critical components, raising concerns about increased costs and design changes.

Source: https://edition.cnn.com/2025/05/28/tech/apple-iphone-trump-america-china