President Donald Trump jolted global markets with a bold announcement targeting Apple and the European Union, unveiling sweeping new tariffs that could reshape international trade and dramatically impact the tech industry.
In a fiery statement, Trump declared that starting June 1, all iPhones sold in the United States but not manufactured domestically will face a 25% tariff. The move is part of a broader push to bring manufacturing back to American soil and pressure Apple to shift production out of China and India.
“If Apple wants to sell iPhones in America, they need to build them in America,” Trump said. “If not, they’ll pay a 25% tariff—no exceptions.”
Alongside the Apple threat, Trump also announced a massive 50% tariff on all goods imported from the European Union. He cited what he called an “out-of-control” $250 billion trade deficit and accused the EU of stonewalling negotiations. The tariffs, set to take effect June 1, aim to force EU leaders back to the negotiating table under new terms.
The twin announcements sent shockwaves through global markets. Futures for the Dow and S&P 500 fell by more than 1.5%, European stock indexes dropped over 2%, and Apple’s stock plunged by nearly 4%. Analysts warned the tariffs could raise prices for American consumers and risk triggering a new trade war at a time when inflation and supply chain concerns remain front and center.
Industry experts cautioned that Apple, which relies heavily on overseas production, would struggle to meet U.S. demand with domestically produced units alone. Some economists estimate that a 25% tariff could add hundreds of dollars to the cost of a new iPhone.
The EU has yet to issue an official response, but sources say European leaders are preparing emergency talks and exploring potential countermeasures. China and Germany, both closely tied to Apple’s global supply chain, are also monitoring the situation closely.
Trump’s move is being hailed by supporters as a bold defense of American industry and a direct shot at corporate outsourcing. Critics, however, warn it risks hurting American consumers, straining diplomatic relations, and escalating trade tensions with key allies.
This latest round of trade pressure reinforces Trump’s “America First” economic agenda and signals that he intends to use tariffs aggressively in his second term to repatriate jobs, rein in trade deficits, and realign global commerce in favor of U.S. workers.
As the June 1 deadline approaches, all eyes are now on Apple, the European Union, and how global markets will brace for what could be the next major economic standoff.