Apple Faces a Big New Challenge

President Trump wants Apple to move iPhone production for US customers out of India.

Apple Faces a Big New Challenge
A Big Problem For Apple

On May 15, 2025, the President of the United States, Donald Trump, said something important. He told Apple’s boss, Tim Cook, to stop making iPhones in India for people in America. He said he had a “little problem” with Apple making phones “all over India.”

Apple had said earlier that it would spend a lot of money, about $500 billion, in the U.S. over the next four years. But President Trump wants Apple to make more phones in the USA itself.

Why Did Apple Go to India?

Apple is a famous company. It makes phones (iPhones), computers (MacBooks), and other devices. For many years, Apple made most of its products in China. China is cheap, the workers there are good at building phones, and they have nearby places that make the parts.

But now, the U.S. and China are not getting along well, they have started something known as 'Trade War'. So, Apple wants to move away from China and build its products in other places, too.

In 2024 and 2025, Apple made many phones in India. These were worth about $22 billion. This is about 20% of iPhones made.

What Did Apple Reply?

Trump wants Apple to build more iPhones in the U.S. to help create jobs. He told Apple, “We’re not interested in you building in India.”

Apple did not say anything in public. But one Indian official said Apple told the Indian government that it will keep working in India. Apple’s plans are the same for now.

What Happens Next?

Apple is stuck in a tricky spot. It wants to make fewer phones in China and more in India. But President Trump is not happy about that.

Now, Apple has to be very careful. On one hand, it wants to save money, but on the other hand, it also has to keep leaders like Trump happy. It won’t be easy, and Apple will surely have to make some smart choices to solve this problem.
 

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