Trump threatens to impose 25% tariff on Apple over offshore iPhone production 

The warning, shared via Trump’s social platform Truth Social, is the latest salvo in his broader push for onshore production of American-branded goods.

“I have long ago informed Tim Cook of Apple that I expect their iPhones sold in the United States to be manufactured in the United States, not India or anyplace else,” Trump wrote.

“If that is not the case, a tariff of at least 25% must be paid by Apple to the U.S.,” he added.

The statement places renewed pressure on Apple, whose manufacturing supply chain has long been anchored in China and, more recently, in India, where the company has been ramping up production to diversify risk.

Apple currently runs one of the largest manufacturing hubs in China. The Zhengzhou factory, dubbed “iPhone City,” employs hundreds of thousands and includes amenities like dormitories, schools, and clinics.

Replicating such a setup in the U.S. would require immense capital, technical expertise, and a skilled workforce that’s currently more readily available in Asia.

Moreover, Apple’s product development is tightly integrated with its Asian suppliers, such as Foxconn and Pegatron. Engineers often spend years refining assembly processes in tandem with these partners before a product reaches the market.

In the wake of the sweeping Tariff imposed on China by the U.S., industry analysts have warned that the costs of iPhones could go up times three.

Specifically, Global Head of Technology Research at Wedbush Securities, Dan Ives, said the idea of Apple shifting its entire supply chain to the U.S. is economically impractical.

In a CNN interview, Ives warned that an iPhone assembled entirely in the United States could retail for as much as $3,500, compared to the current price of around $1,000.

“You build that supply chain in the U.S. with fabrication plants in West Virginia or New Jersey, and you’re looking at $3,500 iPhones,” Ives explained, referencing the complex ecosystem of high-tech chip manufacturing that has been developed over decades in Asia.

Ives estimates it would cost Apple $30 billion and at least three years just to move 10% of its supply chain back to the U.S., a move that could severely impact margins and product timelines.