Trump Threatens Tariffs if Apple, Samsung, Google Don’t Build Phones in US

Recently, President Donald Trump threatened to impose a 25% tariff on iPhones sold in the US if they’re not manufactured in the country. He specifically pressured Apple CEO Tim Cook to move production from China or India to the US. Otherwise, tariffs would kick in.

Trump posted on his social media platform, Truth Social, saying, “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 US.”

Trump tells Samsung, Google, Apple and others to make in the US or pay the tariff

During a White House press conference earlier today, Trump said the tariff won’t just affect Apple, but Samsung, Google, and others too. “It would be also Samsung and anybody that makes that product, otherwise it wouldn’t be fair,” he said. “So anybody that makes that product, and that’ll start on, I guess, the end of June.” This means Samsung, Google, and others will also have to move production to the US or pay the tariff.

Apple has been shifting some iPhone production from China to India to steer clear of issues caused by the trade war with China. But Trump said he does not want Apple making phones in India. “We’re not interested in you building in India, India can take care of themselves. We want you to build here,” during his recent visit to Qatar.

Things could be tougher for Samsung and others going forward

Experts warn that moving phone production to the US would cost a pretty penny. And if Trump had stuck to his earlier Apple-only tariff plan, it would have given Samsung a leg up either way. That’s what Abhilash Kumar, industry analyst from TechInsights, noted. “It’s a win-win for Samsung anyhow if Trump imposes 25% tariff on iPhones in US,” Kumar says.

Trump said companies will not have to pay tariffs if they build factories in the US. “When they build their plant here, there’s no tariffs. So they’re going to be building plants here,” he said.

The US is a huge market for smartphones from all brands. Among them, only two brands hold the bigger pie, Apple and Samsung. Together, Apple and Samsung account for about 76% of the total market. Out of which, Apple takes the lion’s share, according to Counterpoint’s Q4 2024 report. This new tariff plan could shake things up for how Apple, Samsung, and other phone makers do business in the future.