Trump Threatens 25% Tariff on All Smartphones Not Made in US
AFP/APP
Washington: Former US President Donald Trump on Friday expanded his tariff threat to include all smartphone manufacturers, declaring a 25 percent import tax on devices not made in the United States, in a move that could significantly impact global tech giants like Apple and Samsung.
Initially targeting only Apple, Trump later told reporters in Washington that the tariffs would apply broadly to ensure fairness. “It would be also Samsung and anybody that makes that product, otherwise it wouldn’t be fair,” he said, adding that the new policy could take effect by the end of June.
Despite designing its products in the US, Apple manufactures most of its iPhones in China. Trump said production shifts to countries like India would not meet his expectations. “I told Tim Cook long ago—I expect their iPhones sold in the United States to be built in the United States, not India or anyplace else,” Trump wrote on Truth Social.
Apple’s key competitor, Samsung, also relies on manufacturing in countries like Vietnam and India. Combined, Apple and Samsung account for around 80 percent of smartphone sales in the US.
Analysts, however, criticized the proposal. Dan Ives of Wedbush Securities called the idea of relocating iPhone production to the US “a fairy tale,” citing logistical and economic hurdles. Apple’s stock has fallen over 20 percent since Trump assumed office in January, and it dropped a further 3 percent on Friday following his renewed rhetoric.
Cook previously warned that tariffs on Chinese goods could cost Apple $900 million this quarter, and analysts say consumers could face price hikes on smartphones and other electronics.