With Eye On China, Trump Pivots, Tells Apple Not To Expand In India
India-West News Desk
WASHINGTON, DC – President Donald Trump said on May 15 that he has told Apple CEO Tim Cook to curb the company’s growing expansion in India, citing trade imbalances and concerns over high tariffs.
The company’s growing footprint in India is part of Apple’s broader strategy to diversify its supply chain. Amid escalating trade tensions between the U.S. and China, Apple recently decided to shift all iPhone production destined for the U.S. market from China to India.
However, the geopolitical landscape has since shifted. The U.S. and China recently agreed to withdraw previously announced reciprocal tariffs for an initial 90-day period. Under this temporary arrangement, tariffs have been reduced by 115% on both sides. China will now impose a 10% tariff on U.S. goods, while the U.S. will levy a 30% tariff on Chinese goods.
Speaking at a news conference in Doha, President Trump revealed details of a recent conversation with Cook. “I had a little problem with Tim Cook yesterday,” he said. “I told him, my friend, I am treating you very good. You’re coming up with $500 billion, but now I hear you’re building all over India. I don’t want you building in India. You can build in India if you want to take care of India, because India is one of the highest tariff nations in the world. It is very hard to sell in India.”
Trump’s remarks come as Apple continues to ramp up its iPhone production in India. The tech giant has established multiple assembly plants in the country through partnerships with contract manufacturers including Foxconn and Tata Group. Two of these plants are located in Tamil Nadu, while another operates in Karnataka.
In the fiscal year ending March 2025, Apple produced $22 billion worth of iPhones in India—a 60% increase from the previous year. The company manufactured approximately 40–45 million iPhones in India in 2024, making up 18–20% of its global output. Of these, about 15 million units were exported to the U.S., 13 million to other international markets, and 12 million were sold within India.
Apple has seen consistent growth in the Indian market, achieving an 11th consecutive quarterly revenue record in January 2025. iPhone sales in India reached an estimated $10 billion in 2024, making India Apple’s fourth-largest market globally, after the U.S., China, and Japan.
Ajay Bhutoria
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I am deeply concerned by President Trump’s recent remarks urging Apple to reconsider its manufacturing expansion in India. This statement, reported by Bloomberg on May 15, 2025, reflects a troubling prioritization of domestic interests over the broader strategic and economic benefits of strengthening US-India ties.
India has emerged as a critical partner in the global economy, and its manufacturing sector is a cornerstone of its growth story. Apple’s decision to expand in India is not only a vote of confidence in India’s potential but also a strategic move to diversify supply chains and reduce reliance on China. President Trump’s opposition to this expansion undermines the very principles of economic partnership and mutual benefit that should define US-India relations.
During the Biden administration, we worked tirelessly to foster deeper economic collaboration with India, recognizing its role as a key ally in the Indo-Pacific region. The Quad initiative, strengthened under President Biden, and initiatives like the CHIPS and Science Act were designed to enhance technological and economic ties, benefiting both nations. President Trump’s comments, however, suggest a retreat from this vision, focusing instead on short-term domestic gains at the expense of long-term global partnerships.
Furthermore, this stance is inconsistent with the sentiments of the Indian-American community, many of whom supported President Trump with the expectation that he would strengthen US-India relations. The 2024 Indian-American Survey by the Carnegie Endowment for International Peace highlighted a preference for Democratic leadership in this regard, underscoring the disconnect between Trump’s actions and the community’s aspirations.
I urge President Trump to reconsider his approach and recognize the strategic importance of India as a manufacturing hub and a partner in the global economy. The United States benefits from a robust US-India relationship, and blocking American companies like Apple from investing in India is counterproductive to our shared goals of economic growth and geopolitical stability.
As someone who has worked closely with both American and Indian stakeholders, I believe that the path forward lies in collaboration, not confrontation. Let us build on the progress made under previous administrations and ensure that US-India ties remain strong, resilient, and mutually beneficial.
Ajay Bhutoria Former Advisor to President Biden Co-Chair, Economic Subcommittee, AANHPI Commission
May 16, 2025