"A tariff of 25% must be paid by Apple” Tim Cook threatened by Trump for continuing to invest in India

Early this morning, U.S. President Donald Trump continued to threaten Apple’s Tim Cook for plans to expand iPhone production outside the U.S. The President previously said he had a problem with Cook over the tech CEO’s plans to expand production in India. Apple’s plan was presumably to avoid the high tariffs the U.S. has placed on China, compared to the lower 10% on India. So, in some way, tariffs have encouraged companies to abandon the U.S.’s rival. But now, Trump has threatened to raise tariffs on the iPhone maker to encourage further investment in U.S.-based production.

“A tariff of 25% must be paid by Apple” U.S. President threatens Tim Cook to invest in the U.S. or else

The U.S. has leveled unprecedented tariffs against much of the world, which initially sent the global economy into disarray, until Trump’s institution of a 90-day delay, which is set to run out this August. You may remember this being a major part of the Nintendo Switch 2 pre-order conversation after the Japanese company delayed pre-orders in the U.S. and Canada following the tariffs. After the delay, Nintendo, thankfully, did not raise the price of its new console, but its entire line of accessories increased by about five or ten dollars. Since then, both Sony and Xbox have also raised the prices of their digital products and hardware, respectively. After this 90-day pause, it would not be surprising to see further price increases.

President Trump shared the new tariff threat on Truth Social, writing, “I have long ago informed Tim Cook of Apple that I expect their iPhone’s 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 U.S. Thank you for your attention to this matter!” Spotted by The Verge. This comes after Apple has pledged a $500 billion investment in the U.S. over the next four years, and a personal donation of $1 million from Tim Cook to the President’s inaugural fund. Undoubtedly, the cost of tariffs will be passed on to consumers. So, as enjoyable as it is to watch Apple’s subtle, legal bribery fall on deaf ears, the trillion-dollar company will be fine, and American consumers will be forced to pay more.

At the time of writing, Apple has yet to respond to the threat of further tariffs. But it’s hard to imagine the $1.5 billion plant being developed in India will suddenly stop construction. For now, we will have to wait to see which side blinks first.

• Apple
• Tim Cook
• Donald Trump