President Donald Trump has threatened to impose a 25 percent tariff on Apple if the tech giant does not manufacture iPhones in the United States.
Shares of Apple fell by 3.5 percent in premarket trading. Apple currently makes more than 90 percent of its products in China.
Trump later clarified the post, saying that the tariffs would apply to all smartphones made overseas.
“It would be also Samsung and anybody that makes that product,” Trump said at the Oval Office. “Otherwise, it wouldn’t be fair.”
The president added that the tariffs could be implemented by the end of June.
The majority of the iPhones heading for the United States in the coming months will instead be made in India, while Vietnam will be the main production point for products such as iPads and Apple Watches.
During a call with investors discussing Apple's second-quarter results, Cook was asked how the company planned to adapt to the new U.S. tariff regimen, which significantly targets Chinese-manufactured goods.
“For the June quarter, we do expect the majority of iPhones sold in the U.S. will have India as their country of origin and Vietnam to be the country of origin for almost all iPad, Mac, Apple Watch, and AirPods products also sold in the U.S,” Cook said.
Later in the month, speaking in Qatar, Trump admonished Apple and Cook over the tech company’s plans.
“I had a little problem with Tim Cook yesterday,” said Trump. “I said to him: ‘Tim, you’re my friend. You’re coming here with $500 billion, but now I hear you’re building all over India. I don’t want you building in India.”
It added that if Apple really wanted “to get serious about U.S. manufacturing, it would bring its hallmark product, the iPhone, onto assembly lines right here.”
“I’ll start paying attention when Apple shifts mass-market iPhone and/or laptop production to the United States. Apple’s $500 billion U.S. spending plan for the next four years is in line [with] what one might expect it to spend, given its financials.”
The Epoch Times has contacted Apple for comment.
Trump also said on Friday that he is recommending a 50 percent tariff on goods from the European Union starting on June 1.