During a business event in Doha, Qatar, former President Donald Trump made waves by telling Apple CEO Tim Cook that he “doesn’t want you building in India.” Citing Apple’s $500 billion U.S. investment pledge, Trump lamented India’s high tariffs and urged the tech giant to keep its plants within American borders. According to CNBC, Trump emphasized, “My friend, I treated you very good…now you’re building all over India.” His remarks spotlight the tension between diversifying supply chains and nationalistic calls for on-shore manufacturing. Below, we explore the background, key implications for U.S.–India trade, and what comes next for Apple and global tech.
Trump’s Critique of Apple’s India Plans
Trump’s comments came during a June 2025 press conference, where he said:
“I had a little problem with Tim Cook yesterday. I said to him, ‘My friend, I treated you very good. 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.’”
He argued that India imposes some of the world’s highest tariffs on U.S. goods, pointing to a draft tariff-free trade deal offered by New Delhi as insufficient to justify shifting production overseas. Apple currently assembles approximately 20–30% of its iPhones in India through partners like Foxconn, Tata Electronics, and Pegatron. The company aims to produce 60 million U.S.-destined iPhones from Indian factories by late 2026.
While Apple’s $500 billion U.S. investment—announced in February 2025—includes plans for new facilities in Texas, Michigan, and Arizona, replicating China’s massive, mature supply chain remains a towering challenge. U.S. Commerce Secretary Gina Raimondo has noted that scaling domestic iPhone assembly would require extensive high-precision robotics and skilled labor, potentially tripling production costs per unit.
Implications for U.S.–India Trade and Tech
Apple’s push into India is part of a broader strategy to diversify supply chains away from China amid rising geopolitical tensions. India’s government has incentivized smartphone manufacturing with subsidies and tax breaks, helping mobile exports to the U.S. rise from $4.7 billion (2023) to over $7 billion (2024–25 fiscal year).
However, Trump’s stance underscores a conflicting narrative in U.S. trade policy:
National Security & Jobs: On-shore manufacturing promises American jobs and reduces reliance on foreign components.
Economic Realities: India’s growing infrastructure and lower labor costs make it an attractive complement to China, especially as Apple seeks to avoid U.S.–China tariff escalations.
Trade experts warn that politicizing Apple’s supply chain could backfire by increasing costs for U.S. consumers and slowing innovation. At the same time, India’s push to become a tech manufacturing hub dovetails with Prime Minister Narendra Modi’s “Make in India” initiative, raising stakes for New Delhi to retain Apple’s business despite Trump’s objections.
In conclusion, Trump’s public admonishment of Tim Cook highlights the delicate balance between nationalistic trade pressures and global supply-chain diversification. While Apple remains committed to boosting U.S. production—part of its $500 billion pledge—the realities of scaling complex electronics manufacturing in America pose significant hurdles. India’s role as an alternative manufacturing base continues to grow, supported by government incentives and private-sector partnerships. As trade negotiations evolve, Apple will navigate between tariff-avoidance strategies and political calls for on-shore jobs. Ultimately, the tech giant’s decisions will reverberate across U.S.–India relations, global manufacturing trends, and consumer prices worldwide.
Frequently Asked Questions:
Q: What did Trump say about Apple building in India?
He told Tim Cook, “I don’t want you building in India,” urging more U.S. manufacturing despite Apple’s shift to Indian plants.
Q2: How much is Apple investing in U.S. production?
Apple pledged $500 billion over four years for U.S. manufacturing facilities, including expansions in Texas, Michigan, and Arizona.
Q3: Why is Apple manufacturing in India?
To diversify its supply chain, avoid U.S.-China tariff tensions, and leverage India’s lower costs and government incentives under “Make in India.”
Q4: What tariffs does India impose on U.S. goods?
India has among the highest average tariffs globally—around 10–15% on electronics—though it offered a draft tariff-free deal for U.S. products.
Q5: Will Apple stop making products in India?
There’s no sign Apple will halt Indian production; it aims to source 60 million U.S.-destined iPhones from India, balancing political and economic pressures.
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