Media reports indicate that Trump revealed he has spoken with Apple CEO TIM, clearly stating that he does not want Apple to expand production in India. He claimed that as a result of this conversation, Apple will "increase their production in the USA."
Trump 'threatens' $Apple (AAPL.US)$ The India manufacturing plan and the undercurrents of US-India trade negotiations.
On Thursday, media reports indicated that Trump revealed he had spoken with Apple CEO TIM Cook, explicitly stating he does not want Apple to expand its production in India.
"I told him, I do not want you to build a factory in India."
He claimed that as a result of this conversation, Apple would "increase their production in the USA."
It is notable that Apple unexpectedly announced during this month's Earnings Reports conference call that the majority of devices destined for the USA will be produced in India and Vietnam to mitigate potential tariff pressures.
Trump halts Apple's expansion plans in India.
Trump's remarks directly target Apple's Global Strategy for expansion in the Global market in recent years. Apple has been actively promoting the diversification of its supply chain.
Although Apple's performance in the second quarter barely exceeded expectations, its future growth prospects remain full of uncertainty due to the impact of Trump's tariff policies.
During the earnings call held overnight, Tim Cook announced that in the upcoming June quarter, "most" iPhones sold in the USA will come from India, while "almost all" other devices (including iPad, Mac, Apple Watch, and AirPods) will come from Vietnam. This strategic shift aims to lessen the impact of the Trump administration's tariff policy on the company.
"We learned a lesson a long time ago that putting everything in one place is too risky."
In addition, Cook also stated that, $Apple (AAPL.US)$ they are sourcing Glass and Face ID modules from the USA, while purchasing 19 billion chips from 12 states.
He estimated that tariffs would lead to an additional cost of 0.9 billion USD (approximately 6.54 billion yuan) for the company in the third quarter (April to June), and hinted that this figure could be higher in the coming quarters. Apple declined to disclose whether it would raise prices or pass costs onto consumers.
Editor/joryn
