“That’s OK to go to India,” he said, “but you’re not going to sell into here without tariffs.”
Washington, DC: Just hours after issuing a bold ultimatum to Apple Inc., President Donald Trump has broadened his threat to include other global tech giants, signaling that companies like Samsung Electronics could also face steep tariffs unless they shift manufacturing to the United States.
Speaking at the White House on Friday, Trump clarified that the 25% tariff he proposed for Apple’s iPhones made overseas would also apply to other major device manufacturers. “It would also be Samsung and anybody that makes that product, otherwise it wouldn't be fair,” the former president said, emphasizing his push for domestic production of consumer electronics.
Trump’s remarks followed a Truth Social post earlier in the day in which he warned Apple of steep tariffs if it did not bring iPhone manufacturing to U.S. soil. The post reportedly stemmed from frustration after Apple CEO Tim Cook informed the administration of plans to expand production in India, a move Trump denounced. “That’s OK to go to India,” he said, “but you’re not going to sell into here without tariffs.”
Apple’s shares dipped 3% on Friday following the announcement. Trump also added fuel to broader market concerns by floating the idea of a 50% tariff on European Union imports, set to begin on June 1.
Samsung in the Crosshairs
While Apple has long drawn scrutiny over its reliance on Chinese supply chains, Samsung has mostly avoided public criticism, until now. The South Korean electronics giant, whose smartphones run on Google’s Android software, has similarly anchored its production in Asia, with significant facilities in Vietnam and South Korea.
Trump’s latest comments place Samsung under the same spotlight, signaling a wider policy shift aimed at reshaping global tech supply chains.
So far, Samsung and Alphabet Inc. have declined to comment on the potential tariffs. Apple, too, has remained silent, though the company has previously warned that new trade restrictions could result in up to $900 million in additional costs this quarter alone.
Logistical and Financial Hurdles
Trump’s demand for a US-based electronics manufacturing sector presents a massive logistical challenge. Industry experts note that the US lacks the supplier networks, skilled labor base, and manufacturing infrastructure currently concentrated in Asia.
Despite Apple’s $500 billion investment pledge in the US mincluding a new server plant in Houston and a supplier academy in Michigan, the company has not committed to relocating iPhone assembly lines stateside. Analysts say such a move would be extremely costly and time-consuming.
KeyBanc Capital Markets analyst Brandon Nispel warned that Apple may ultimately be forced to raise iPhone prices, potentially starting with the launch of the iPhone 17. “This is a clear negative. In the near term, it likely implies a more significant gross margin impact,” he wrote in a note.
Broader Implications
Although smartphones and other electronics have so far been exempt from reciprocal tariffs imposed by the Trump administration on foreign goods, that exemption may soon end. Officials are reportedly weighing sector-wide tariffs on semiconductor imports, which could ripple across the entire tech industry.
Timing for such measures remains uncertain. But Trump’s escalating rhetoric underscores a broader protectionist agenda that could reshape not only global supply chains but also consumer prices and market dynamics heading into the 2025 election cycle.
With a new round of trade battles looming, device makers around the world are bracing for impact, and weighing how far they're willing to go to avoid Trump's tariff hammer.
