Trump Urges Apple to Halt iPhone Production Expansion in India

Apple and the Shifting Landscape of iPhone Manufacturing

Recent statements from Apple CEO Tim Cook indicated the company’s intention to begin importing iPhones produced in India to satisfy the bulk of domestic demand within the United States. This development has reportedly drawn criticism from former U.S. president Donald Trump.

Trump's Concerns Regarding Indian Production

During a business conference held in Doha, Trump revealed a conversation he had with Cook. He stated he urged Cook to curtail expansion of manufacturing operations in India and instead prioritize increased production within the United States.

“I conveyed to him, ‘Tim, we have a strong relationship, and I have consistently extended favorable treatment to you. Considering your planned $500 billion investment, I’ve learned you are establishing facilities throughout India. I would prefer you not build in India,’" Trump explained. "‘You are welcome to manufacture in India if your intention is to serve the Indian market, given India’s status as a nation with some of the world’s highest tariffs.’”

Tariff Policies and Domestic Production

Trump, known for his assertive tariff policies against numerous countries, indicated that Apple is now poised to “increase” its production levels in the U.S. However, he did not specify a timeframe or provide detailed plans for this expansion.

Apple has not yet issued a public response to inquiries regarding these comments.

Apple's Prior Commitments to U.S. Manufacturing

Earlier in the year, Apple announced a commitment to invest $500 billion over the next four years to bolster manufacturing within the U.S. This plan encompasses the establishment of new facilities, the creation of additional production units, the hiring of more than 20,000 employees, and the launch of a dedicated manufacturing academy.

India's Growing Role in Apple's Supply Chain

Trump’s remarks followed closely after India’s approval of a $435 million project spearheaded by Foxconn, aimed at manufacturing Apple chips within the country. The company has been actively pursuing ambitious strategies to scale up production in India, establishing alternative manufacturing hubs to lessen its dependence on China.

Reports from Bloomberg in April suggested that Apple was already responsible for 20% of its iPhone production within India. Simultaneously, the Financial Times reported Apple’s intentions to import all iPhones sold in the U.S. from India by the year 2026.