President Donald Trump expressed his discontent with Apple's decision to expand its production operations in India rather than focusing on the United States.
During a news conference in Qatar, Trump recounted a conversation with Apple CEO Tim Cook, stating, I had a little problem with Tim Cook yesterday, I said to him Tim youre my friend, Ive treated you very good, Youre coming in with $500 billion. This interaction was captured in a video shared on X.
As reported by Western Journal, Apple had previously announced a significant investment of $500 billion in production facilities, including a manufacturing site in Texas. However, the tech giant's main supplier, Foxconn, has secured approval from the Indian government to construct a $433 million semiconductor plant, slated to commence operations in 2027, according to the New York Post. Trump voiced his concerns to Cook, emphasizing, I dont want you building in India. You can build in India if you want, to take care of India, because India is one of the highest tariff nations in the world. Its very hard to sell in India.
The President highlighted ongoing trade negotiations between the United States and India aimed at reducing tariffs. He mentioned, Theyve offered us a deal where basically, theyre willing to, literally, charge us no tariffs. So we go from the highest tariff to a point where they have actually told us that there will be no tariffs. Trump reiterated his stance to Cook, urging Apple to prioritize American production: I said to Tim, I said, Tim look, we treated you really good, we put up with all the plants that you built in China for years, now you got build [with] us. Were not interested in you building in India, India can take care of themselves we want you to build here.
Despite these discussions, Apple has not issued a public response to Trump's comments, according to Axios. Meanwhile, CNN reported that Apple's strategy to increase iPhone production in India is partly driven by a desire to circumvent tariffs imposed on China by Trump. Cook noted during an earnings call that the majority of iPhones sold in the US will have India as their country of origin.
The financial implications of manufacturing iPhones in America are significant, with CNN citing Dan Ives of Wedbush Securities, who estimated that an American-made iPhone could cost as much as $3,500 due to elevated production costs. Currently, India is responsible for producing approximately 20 percent of Apples iPhones, as stated by The New York Times, which also reported India's ambition to boost its share of the iPhone market to 30 percent.
In the broader context of global trade and manufacturing, Trump's remarks underscore the tension between fostering domestic production and navigating international economic relationships. As Apple continues to expand its global footprint, the balance between cost-effective manufacturing and national economic interests remains a critical consideration.
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