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Apple aims to lessen its tariff burden on iPhones by increasing production in India.
Following the announcement of new tariffs that seemed to target Apple’s iPhones, California Attorney General Rob Bonta expressed that he might take legal action against the Trump administration.
In his statement, President Trump suggested that Apple should manufacture all its iPhones in the U.S. rather than overseas, indicating that a 25 percent tariff would apply to iPhones produced in India.
Bonta expressed disappointment regarding Trump’s remarks, commenting, “It’s as if [Trump] wakes up and arbitrarily decides to suggest that Apple should increase its production in the U.S. only to change his mind the next day.”
Bonta defended Apple as a significant employer in California and recognized its role in contributing to the state’s economy, which ranks as the fourth largest globally.
“We take pride in California companies and must ensure their rights are protected, even from the President of the United States,” Bonta stated, highlighting the unusual need for such protection.
His office plans to investigate the new tariff policies for potential evidence of targeting California companies, including Apple, before proceeding with any legal actions.
In response to the backlash regarding the tariffs, the President later clarified that the penalties would also be imposed on other manufacturers such as Samsung.
So far, Apple has remained silent on the ongoing tariff discussions. Due to a positive relationship between Apple CEO Tim Cook and the President, the company currently enjoys temporary exemptions from Trump’s tariffs affecting China and other regions.
However, Apple lacks the manufacturing capacity in the U.S. to produce iPhones on a large scale, a transition that would take many years. For example, Apple’s chip supplier TSMC has faced a five-year timeline to establish its first U.S. manufacturing facility in Arizona.
Construction delays at TSMC’s Arizona plant were attributed to a shortage of skilled labor. Although the facility is now operational, it is not yet producing chips for the latest iPhones due to restrictions from Taiwan.
While the second plant has experienced delays, plans for a third facility are underway, supported by a federal grant from the existing CHIPS Act, which Trump opposes.
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