Tim Cook loses influence in Washington and Apple becomes a target of Trump
The relationship between Apple's CEO, Tim Cook, and former U.S. President Donald Trump, has suffered a recent blow after Cook's absence from a presidential trip to the Middle East. Annoyed by the decision, Trump publicly criticized the executive, praising the presence of other tech industry leaders, such as Nvidia's Jensen Huang, and pointing to Apple's expansion in India as a point of contention.
During events in Riyadh and Doha, Trump stated he had "a small problem with Tim Cook" and expressed dissatisfaction with the fact that Apple is transferring a significant part of its production to India.
On his Truth Social network, the former president emphasized that iPhones sold in the U.S. should be manufactured on American soil, and threatened to impose a 25% tariff on devices produced outside the country.
Apple has been diversifying its supply chain to reduce dependence on China, with plans to manufacture most iPhones sold in the U.S. in India by 2026.
However, analysts highlight that bringing this production to the U.S. would be logistically complex and financially burdensome: the cost of assembling an iPhone in the U.S. would be around $390, compared to $30 in India, primarily due to high labor costs.
The market reacted negatively to Trump's statements. Apple's shares fell 3%, reflecting concerns about possible tariffs, rising costs, and impacts on the production chain.
The episode marks a weakening of Tim Cook's influence in Washington, highlighting the growing tension between global business interests and the protectionist policies advocated by Trump.
Source: Brasil 247
