President Donald Trump has disclosed urging Apple CEO Tim Cook not to expand the company’s manufacturing operations in India, even as Apple moves to shift production out of China amid rising tariffs and geopolitical tensions.
Donald Trump insists Apple CEO stop manufacturing iPhones in India
Speaking at an event in Qatar during his three-day visit to the Middle East, the U.S. President said he spoke to Apple CEO Tim Cook after the recent U.S.-China trade agreement in Geneva, which included a 90-day pause on most tariffs between the two countries.
“I said to him you're coming here with $500 billion. But now I hear you're building all over India. I don't want you building in India. You can build in India if you want to take care of India because India is the highest one of the highest tariffs nations in the world. It's very hard to sell into India and they've offered us a deal where we're basically they're willing to truly charge US no tariff,” said Donald Trump.
“We're not interested in you building in India, (they) can take care of themselves. They're doing very well,” he added.
In March, the tech giant announced its plans to invest more than $500 billion in the United States over the next four years, including plans to hire 20,000 people and build a new server factory in Texas, after Trump requested to shift its manufacturing from Mexico to the U.S.
Donald Trump's remarks create uncertainty for Apple's strategy to source the majority of US-bound iPhones from India by late 2024, as the company seeks to diversify beyond China due to tariff concerns and diplomatic tensions.
Currently, Apple's iPhone manufacturing is concentrated in China, with no production facilities in the United States.
Production costs in India are estimated to be 5–10% higher than in China, but the iPhone company considers it a hedge against tariffs and disruptions from ongoing U.S.-China tensions.
Meanwhile, Apple aims to manufacture most of the iPhones it sells in the U.S. at Indian facilities by the end of 2026. In March, Reuters had reported that the tech giant shipped around $2 billion worth of iPhones from India to the U.S., including $1.3 billion from Foxconn.
At the Qatar event, Trump remarked that India has offered to eliminate tariffs on U.S. goods in a bid to secure a broader trade agreement.
“India has offered us a deal where basically they are willing to literally charge us no tariff,” Trump said, without sharing further details.
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