Core Viewpoint - The U.S. President Trump has threatened to impose a 25% tariff on iPhones produced outside the U.S., specifically targeting Apple and similar companies like Samsung, urging Apple to manufacture iPhones domestically instead of in countries like India or China [1][4]. Group 1: Tariff Threat and Market Reaction - Trump stated that if Apple does not produce iPhones in the U.S., it must pay a minimum of 25% in tariffs [1]. - Following the announcement, European stock markets declined, and Apple's stock fell by 3.02% [1]. - Approximately 80% to 90% of the over 60 million iPhones sold annually in the U.S. are manufactured in China, with the remainder produced in India and Vietnam [1]. Group 2: Apple's Production Strategy - Apple plans to shift most of its iPhone production to India starting in the second quarter of this year as part of its strategy to navigate U.S.-China tensions [2]. - Trump expressed discontent with Apple's decision to expand production in India, emphasizing the need for Apple to focus on U.S. manufacturing instead [4]. - Despite Trump's pressure, Apple has only a minimal production presence in the U.S., primarily for the Mac Pro, and 90% of its flagship iPhone models are still assembled in China [5]. Group 3: Investment and Manufacturing Costs - Apple announced a $500 billion investment plan in the U.S., focusing on AI, advanced manufacturing, and domestic supply chain development [5]. - Experts warn that relocating iPhone assembly to the U.S. would be impractical and significantly increase costs, estimating that U.S.-made iPhones could cost at least three times more [5].

Group 1 - Apple is accelerating the transfer of its iPhone production for the U.S. market to India, aiming to reduce reliance on the Chinese supply chain, with plans to complete this by 2026 [5] - Trump publicly criticized Apple for its plans to expand production in India, urging the company to focus on manufacturing in the U.S. instead [1][3] - Currently, 90% of Apple's flagship iPhone models are still assembled in China, and the company has minimal production in the U.S. [3] Group 2 - Trump's administration has previously pressured Apple to move iPhone production back to the U.S., with industry experts warning that such a move would significantly increase costs [3][4] - Apple announced a $500 billion investment plan in the U.S., focusing on artificial intelligence and advanced manufacturing, but has not disclosed specific details regarding increased production in the U.S. [3] - The U.S. and India are engaged in complex trade negotiations, with India recently proposing retaliatory tariffs against U.S. goods, indicating a shift in its trade stance [8][9]