President Donald Trump said on May 23 that he would impose high tariffs on European exports for more than a week and warned Apple that iPhones made outside the US would face a 25% tariff.
The US president wrote on Truth Social that discussions with the European Union "will not go anywhere" and he is proposing to impose a 50% tariff on imports from Europe from June 1.
He said trade barriers, taxes, corporate sanctions and other policies of the bloc have contributed to the trade imbalance with the US and this is "completely unacceptable".
In an earlier social media post, Trump also targeted Apple CEO Tim Cook, emphasizing that iPhone sold in the US must be "made and assembled in the US, not India or any other place". Otherwise, these popular smartphones will be subject to a 25% tax rate.
The Trump administration has conducted trade talks with dozens of governments, including the EU, in an effort to reach a trade deal before the global tariffs take effect again in early July.
In April, Mr. Trump agreed to excluding electronics, including the iPhone, from the list of tariffs he imposed on China. This step could help companies like Apple save billions of dollars in taxes. But the May 23 comment suggests President Trump may be reconsidering that decision.
Apple's ability to produce iPhones, iPads and other devices in the US is facing huge challenges, including a highly skilled workforce in the production process. Some analysts estimate that shifting production to the US could double the retail price of an iPhone.
