President Donald Trump just dropped a trade bombshell, targeting Apple’s iPhones and European Union goods with hefty tariffs. His latest move doubles down on bringing manufacturing back to American soil, stirring the pot in global trade talks. It’s a bold play, but will it spark jobs or just jack up prices?
Fox Business reported that Trump’s threats include a 25% tariff on iPhones not made in the U.S. and a 50% tariff on EU goods starting June 1, 2025, unless they’re produced stateside.
These warnings follow his Wednesday meeting with Apple CEO Tim Cook and ongoing trade spats with the EU. The goal? Slash the $250 billion U.S.-EU trade deficit and boost domestic factories.
Last week, Trump jabbed at Cook during a Qatar visit, griping about Apple’s iPhone production in India. Apple has been cozying up to India to dodge China’s risks and sidestep tariffs, according to Bloomberg. Sorry, Tim, but Trump’s not buying the global shuffle.
Trump’s tariff talk isn’t new; he’s been hammering the EU for years. He accuses them of slapping U.S. companies with unfair taxes, penalties, and lawsuits. Sounds like Europe’s playing hardball while Uncle Sam foots the bill.
The U.S. already has a 25% tariff on steel, aluminum, and cars, plus a baseline 10% on most imports. If EU talks flop, a 20% “reciprocal” tariff kicks in. Negotiations, described as “going nowhere,” face a July 8 deadline.
Trump’s not mincing words. “I expect their iPhones… will be manufactured… in the United States,” he told Cook. India’s factories might be cheaper, but Trump’s betting tariffs will force Apple’s hand.
The EU is in Trump’s crosshairs for a $250 billion trade deficit he calls “totally unacceptable.” He claims their trade barriers and “monetary manipulations” fleece American businesses. It’s a charge sheet that’s hard to ignore.
Vice President JD Vance met EU bigwigs Ursula von der Leyen and Giorgia Meloni on Sunday. No breakthroughs reported, just more diplomatic chin-wagging. With tariffs looming, Europe’s got to feel the heat.
Trump’s EU tariff threat is blunt: build in the U.S., or pay 50% starting June. “There is no tariff if the product is built… in the United States,” he said. Simple enough, but Europe’s not exactly rushing to comply.
Apple’s been shifting iPhone production to India, a move that’s smart for dodging China’s chaos. But Trump’s 25% tariff threat could upend that strategy. Cook’s got a puzzle: move factories stateside or eat the cost.
Trump and Cook go way back, meeting at a Texas factory in 2019. Wednesday’s White House sit-down was their latest, but Trump’s patience seems thin. He wants those iPhones stamped “Made in USA.”
“A Tariff of at least 25% must be paid,” Trump warned Apple. That’s a pricey hit for a company already juggling global supply chains. Consumers might feel the pinch at checkout.
The Distilled Spirits Council’s Chris Swonger is waving a white flag, urging tariff-free trade. “American whiskey exports have surged since EU tariffs were suspended,” he said. Nobody wants a trade war souring that success.
Swonger’s got a point: “Distillers… want toasts, not tariffs.” Tariffs could clobber whiskey makers, who’ve thrived under zero-tariff deals. Why mess with a good thing?
