Fri. 16 May 2025
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Date: 15-may-2025
During a recent discussion while visiting Qatar, former U.S. President Donald Trump took direct aim at Apple’s growing investment in Indian manufacturing. Referring to a conversation with Apple CEO Tim Cook, Trump stated, “I don’t want you building in India,” expressing disapproval over Apple’s increased reliance on Indian factories for iPhone assembly. His remarks have reignited debates around globalization, tech nationalism, and the future of the U.S. tech manufacturing ecosystem.
Apple has significantly scaled up its production efforts in India over the past year, assembling approximately $22 billion worth of iPhones in the country as of March 2025. This marks a staggering 60% year-over-year increase, driven by the company’s ambition to diversify its supply chain and reduce dependency on China amid rising geopolitical tensions.
But for Trump, who has long advocated for reshoring U.S. manufacturing jobs, this shift is a step in the wrong direction. He stressed that Apple should expand production within the United States instead of “helping build up foreign economies at the expense of American workers.”
India has rapidly emerged as a strategic partner for Apple. With Foxconn and other key suppliers investing heavily in local manufacturing infrastructure, Apple is positioning India as not just an assembly hub, but also a potential export powerhouse. Foxconn’s new $2.5 billion facility in Bengaluru is just one part of a larger plan to double iPhone output from the region.
While Trump acknowledged that India has shown willingness to remove some tariffs on American goods, he argued that “India still has a very high tariff wall” that makes trade unbalanced. In his view, Apple’s Indian production should be limited to serving local markets—not for global exports.
Apple’s global shift is part of a broader transformation in the tech industry. The pandemic, coupled with rising tensions between the U.S. and China, has forced companies to rethink their reliance on single-country production models. India, Vietnam, and Mexico have all benefited from this recalibration.
Analysts say Apple is strategically diversifying to hedge against future risks:
As the 2025 U.S. election approaches, Trump’s remarks signal a return to his "America First" economic messaging. Manufacturing and job creation are expected to be central issues in his campaign. If re-elected, analysts predict he could push for higher tariffs on companies outsourcing jobs and production overseas, particularly in the tech sector.
However, some economists warn that such protectionist measures could backfire. “Blocking Apple from optimizing its global supply chain could hurt its competitiveness and potentially raise costs for U.S. consumers,” noted trade expert Linda Morales.
Apple has not issued a formal response to Trump’s statements. However, industry insiders believe the company will continue its diversification strategy regardless of political criticism. Tim Cook has previously stated that building resilience in Apple’s supply chain is “essential to navigating future uncertainties.”
For now, it’s a wait-and-watch moment. If Trump regains influence or power, Apple—and other tech giants—may have to navigate a more nationalistic economic environment that challenges their global expansion plans.
Trump’s criticism of Apple’s India move adds fuel to a larger debate: Should American companies prioritize homegrown manufacturing over global efficiencies? As the world watches Apple’s next steps, the balance between business pragmatism and political pressure remains delicate. What’s clear is that the race to build the future of tech will be shaped not just by innovation, but also by where—and how—that innovation is manufactured.
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Date: 15-May-2025
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Date: 15-May-2025
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