​Trump urges Apple to manufacture products in U.S. to avoid China tariffs

U.S. President Donald Trump has urged Apple Inc. to manufacture its products within the United States to avoid tariffs on Chinese imports. In a tweet, Trump stated that Apple should produce its goods in the U.S. to circumvent potential tariffs. ​
 

Apple has expressed concerns that these tariffs could lead to increased prices for a wide range of its products, including the Apple Watch. The company indicated that the proposed tariffs would affect prices for a "wide range" of Apple products. ​
 

In response to the escalating trade tensions, Apple supplier Luxshare is considering shifting more production outside of China, including to the United States, to mitigate the impact of tariffs. Luxshare's chairwoman, Wang Laichun, mentioned that the company is in discussions with clients about increasing investments abroad and potentially idling some investment plans in China. ​

Analysts have warned that the tariffs could significantly increase the cost of Apple products. For instance, the price of an iPhone 16 Pro Max could rise to nearly $2,300 if the tariffs are fully implemented. This potential increase is due to the 54% levy on Chinese imports, which heavily impacts Apple as most of its iPhones are manufactured in China. ​
Reuters

The broader technology sector is also feeling the effects of the tariff announcements. Major tech stocks, including Apple, have experienced significant losses, with Apple's shares dropping 9.3%, marking their worst performance since March 2020. This decline reflects investor concerns about the escalating trade war and its potential impact on global supply chains and profit margins. ​
 

In light of these developments, President Trump has reiterated his call for companies to manufacture their products in the United States to avoid tariffs and benefit from tax incentives. He emphasized that companies should build new plants in the U.S. to circumvent the imposed tariffs. ​