#TrumpTariffs President Donald Trump has proposed a **25% tariff on smartphones not manufactured in the United States**, targeting companies like Apple and Samsung. This move aims to encourage domestic production but has raised concerns about potential price increases and supply chain disruptions.([The Guardian][1], [Reuters][2])
### š± Impact on Apple and Samsung
* **Apple**: The company has been shifting some iPhone production to India to diversify its supply chain. Despite the proposed tariffs, Apple's manufacturing in India remains cost-effective, and the company is unlikely to relocate production to the U.S. due to higher costs and infrastructure challenges. ([The Guardian][1])
* **Samsung**: Also faces the 25% tariff threat if it doesn't move smartphone manufacturing to the U.S., potentially impacting its pricing and market strategy. ([New York Post][3])
### š Global Reactions
* **European Union**: Trump has also threatened a 50% tariff on EU goods, leading to criticism from EU officials who call for trade negotiations based on mutual respect rather than threats. ([The Guardian][4])
* **Market Response**: The announcement has caused stock market volatility, with concerns over increased consumer prices and potential retaliatory tariffs from affected countries. ([New York Post][5])
### š§ Manufacturing Challenges
Relocating smartphone production to the U.S. poses significant hurdles, including higher labor costs and supply chain complexities. Experts estimate that manufacturing iPhones domestically could raise their price to around \$3,500, compared to the current average of \$1,200. ([Reuters][2])
For a detailed discussion on this topic, you can watch the following news segment:
[Trump Threatens 25% Tariff On Non-U.S. iPhones | World News](https://www.youtube.com/watch?v=cq2ZV9od844&utm_source=chatgpt.com)
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[1]: https://www.theguardian.com/us-news/2025/may/23/donald-trump-threatens-25-percent-tariff-iphones-not-made-in-us?utm_source=chatgpt.com "Trump threatens 25% tariff on Apple and Samsung phones not made in US"