US President Donald Trump has revealed that Apple CEO Tim Cook is planning to shift manufacturing from Mexico to the US, a report claims. Trump reportedly disclosed the company’s move at a gathering of governors, however, the Cupertino-based tech giant has yet to make any official statement regarding the same.
What Donald Trump said about Apple’s plans
According to a report by Bloomberg, Trump cited a recent meeting with Cook at the White House to say that Apple “stopped two plants in Mexico” and will build products in the US instead. He also said that Cook has promised that Apple will invest hundreds of millions of dollars in the US.
“He’s [Cook] going to start building. Very big numbers — you have to speak to him. I assume they’re going to announce it at some point. They don’t want to be in the tariffs,” Bloomberg quoted Trump saying.
The report didn’t detail which manufacturing facilities Trump referred to, but it noted that Apple partner Foxconn Technology Group has a significant presence in Mexico and plans to expand there. While Foxconn produces the iPhone in Asia, Apple still relies predominantly on China for production.
How Trump’s tariffs can affect Apple
During the transition, Cook attended Trump’s inauguration last month and even visited his Mar-a-Lago estate. Meanwhile, Apple faces potential setbacks amid a deepening US-China trade dispute.
Trump’s 10% tariff on Chinese-made goods poses a significant challenge as Apple works to boost sluggish iPhone sales, and China is also reportedly considering investigating Apple’s app fees and policies.
This has further complicated matters given that China is the company’s largest manufacturing hub while the US remains its biggest market.
Apple is also increasingly turning to domestic production through its partnership with TSMC which is building chip factories in Arizona to produce semiconductors for devices like the iPad and Apple Watch.