Trump's Tariff Threat: Apple's Manufacturing Dilemma

President Donald Trump has threatened to impose a 25% tariff on Apple products unless iPhones are manufactured in the U.S. This move could increase iPhone prices and affect sales. The threat follows Apple's plan to shift production to India in response to existing tariffs on China.

President Donald Trump issued a stark warning on Friday, demanding that Apple move its iPhone manufacturing to the United States or face a 25% tariff on its products. The announcement, made via social media, poses a substantial challenge for the tech giant, potentially threatening its sales and profits.

The tariff threat has placed Apple among other major companies like Amazon and Walmart, as they navigate the inflationary pressures aggravated by Trump's import taxes. By targeting Apple, the White House intensifies its focus on corporations adapting their supply chains in response to these tariffs.

Trump's message to Apple CEO Tim Cook is clear: manufacture iPhones in the USA or incur substantial costs. Apple's consideration of shifting production to India in response to tariffs on China sparked the president's frustration, which he has voiced repeatedly, including during a recent Middle East trip.

(With inputs from agencies.)