 with the United States, now hanging in a precarious balance. Trump’s remarks were made shortly after he signed a set of executive orders aimed at boosting the nuclear power sector in the United States. In a post on his social media platform Truth Social, Trump asserted, “I expect their iPhones 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 per cent must be paid by Apple to the US.” The warning follows recent statements by Apple CEO Tim Cook, who told investors that Apple expects a growing number of iPhones sold in the US to be produced in India. In his second-quarter earnings call, Cook explained that current tariffs are based on the country of origin for Apple products. This strategic shift to Indian manufacturing was largely influenced by earlier tariffs imposed by Trump on Chinese goods, prompting Apple to diversify its supply chain. Currently, Apple is investing heavily in India, where iPhone production facilities are expanding rapidly. Meanwhile, its iPads, MacBooks, Apple Watches, and AirPods are being shifted to production units in Vietnam for the June quarter. This relocation has helped Apple meet growing US demand while lowering costs and avoiding Chinese-related tariffs. However, Trump’s renewed insistence on “Made in America” complicates Apple’s global strategy and puts India’s economic ambitions under pressure. If enforced, the 25% tariff could drive up the price of India-made iPhones in the US and weaken Apple’s profitability from its overseas production hubs. For India, the implications go beyond Apple. New Delhi and Washington are currently negotiating the first phase of a landmark bilateral trade agreement, expected to be sealed by July 8. Talks have been progressing with high-level delegations meeting in Washington over recent weeks. But the Trump administration’s aggressive trade stance could derail progress. If a deal isn’t reached by July 9, Trump’s 90-day grace period on reciprocal tariffs ends, and Indian goods could face tariffs as high as 26%. This could hit not only electronics but a range of sectors from textiles to pharmaceuticals. Trump’s move is widely seen as a tactic to pressure both Apple and India — potentially delaying the BTA and asserting US manufacturing dominance. But critics argue that such hardball policies might damage long-term bilateral ties and stifle global tech innovation. As India aims to become a global electronics manufacturing hub, the coming weeks will be crucial. The world is watching whether diplomacy or disruption will dominate the next phase of US-India trade relations. For More Interesting News Follow Us on Instagram){kind=link}
US President Donald Trump has as soon as once more shaken the worldwide tech and commerce sectors with a pointy warning to Apple Inc., declaring that iPhones manufactured in India and bought within the US may face a steep 25% tariff. The assertion comes amid India’s ongoing efforts to finalise a serious bilateral commerce settlement (BTA) with the US, now hanging in a precarious stability.
Trump’s remarks had been made shortly after he signed a set of govt orders aimed toward boosting the nuclear energy sector in the US. In a publish on his social media platform Fact Social, Trump asserted, “I anticipate their iPhones that will probably be bought in the US of America will probably be manufactured and inbuilt the US, not India, or anyplace else. If that’s not the case, a tariff of no less than 25 per cent have to be paid by Apple to the US.”
The warning follows current statements by Apple CEO Tim Cook dinner, who instructed buyers that Apple expects a rising variety of iPhones bought within the US to be produced in India. In his second-quarter earnings name, Cook dinner defined that present tariffs are based mostly on the nation of origin for Apple merchandise. This strategic shift to Indian manufacturing was largely influenced by earlier tariffs imposed by Trump on Chinese language items, prompting Apple to diversify its provide chain.
At present, Apple is investing closely in India, the place iPhone manufacturing amenities are increasing quickly. In the meantime, its iPads, MacBooks, Apple Watches, and AirPods are being shifted to manufacturing models in Vietnam for the June quarter. This relocation has helped Apple meet rising US demand whereas decreasing prices and avoiding Chinese language-related tariffs.
Nonetheless, Trump’s renewed insistence on “Made in America” complicates Apple’s world technique and places India’s financial ambitions underneath stress. If enforced, the 25% tariff may drive up the worth of India-made iPhones within the US and weaken Apple’s profitability from its abroad manufacturing hubs.
For India, the implications transcend Apple. New Delhi and Washington are presently negotiating the primary section of a landmark bilateral commerce settlement, anticipated to be sealed by July 8. Talks have been progressing with high-level delegations assembly in Washington over current weeks.
However the Trump administration’s aggressive commerce stance may derail progress. If a deal isn’t reached by July 9, Trump’s 90-day grace interval on reciprocal tariffs ends, and Indian items may face tariffs as excessive as 26%. This might hit not solely electronics however a spread of sectors from textiles to prescription drugs.
Trump’s transfer is broadly seen as a tactic to stress each Apple and India — probably delaying the BTA and asserting US manufacturing dominance. However critics argue that such hardball insurance policies would possibly harm long-term bilateral ties and stifle world tech innovation.
As India goals to develop into a world electronics manufacturing hub, the approaching weeks will probably be essential. The world is watching whether or not diplomacy or disruption will dominate the following section of US-India commerce relations.
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