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US President Donald Trump has said that he has asked the Chief Executive Officer (CEO) of Apple Inc. Tim Cook to stop the plants in India. Trump's latest response has taken aim at the iPhone maker's plans to diversify its production beyond China.
"Yesterday I had a little problem with Tim Cook," Trump said of a conversation with Apple CEO Cook in Qatar, "They're manufacturing in India." I don't want to see it being manufactured in India.' After the discussion with Cook, Trump said that Apple will increase its production in the US. We have no interest in manufacturing Apple products in India. India can take care of itself," President Trump said.
While claiming that India is one of the countries that imposes the highest import taxes in the world, Trump said that it is very difficult to sell American products in the world's most populous country. However, he said India has offered to reduce tariffs on US goods and is seeking a deal on import taxes.
The US President's comments seem to derail plans to supply most of its products from India by the end of next year. Apple has made the move to manufacture in India in an effort to reduce its reliance on China amid tariff and geopolitical concerns. Apple makes most of its iPhones in China and does not manufacture smartphones in the US.
Apple and its suppliers from the world's second economy They have decided to separate. Especially after the Covid lockdown has damaged the production of the largest plant, Apple has moved on to a new plan . Apple has prioritized the plan as well as the Beijing-Washington tension with Trump's recent tariffs.
The bulk of iPhones manufactured in India are manufactured at Foxconn Technology Group's factories in southern India.
The Tata Group's electronics manufacturing arm, which bought Wistron Corporation's India business and operates Pegatron Corporation in India, is a major supplier. According to a Bloomberg News report, both Tata and Foxconn are building new factories and expanding production capacity in southern India.
Apple assembled $22 billion worth of iPhones in India in the 12 months to March. Because of this, the production has increased by almost 60 percent compared to the previous year .
President Trump has not mentioned anything further about the outcome of the discussions with Cook or any changes in Apple's plans in India. But Trump's comments came days after India threatened to impose retaliatory tariffs on the US. In response to the US raising tariffs on Indian steel and aluminum exports, India had warned of retaliatory tariffs .
