Apple Navigates Tariff Threats and Shifting Production Landscape

Trump threatens tariffs to Apple, says “okay to go to India, but you’re not going to sell in US without tariffs”

2025-05-24 AI Summary: U.S. President Donald Trump has threatened to impose a 25% tariff on Apple products sold in the United States if the company continues to manufacture iPhones in countries other than the U.S., specifically citing India. Trump stated he had a prior understanding with Apple CEO Tim Cook that iPhone production would occur within the United States. He expects iPhones sold in America to be manufactured domestically, not in India or elsewhere. This threat follows Trump’s remarks in Doha, where he reportedly told Cook to avoid building manufacturing capacity in India. Trump’s statements were accompanied by the signing of multiple executive orders related to U.S. nuclear power.

Apple CEO Tim Cook had previously indicated in a Q2 2025 Earnings Conference call that the majority of iPhones sold in the U.S. would originate from India during the June quarter, with Vietnam serving as the country of origin for iPads, Macs, Apple Watches, and AirPods. However, Trump contends this contradicts a prior agreement. Research firm Counterpoint Research suggests that localizing production and building a U.S. supply chain is not a process that will happen overnight and would be more expensive than assembling iPhones in India. Counterpoint Research Vice President Neil Shah noted that Apple has been actively working in India, successfully managing U.S. iPhone demand from its Indian production facilities.

According to Counterpoint Research, India currently possesses sufficient capacity to potentially meet all U.S. iPhone demand in the future, although the ecosystem requires further development. They anticipate that made-in-India iPhones will account for 25%-30% of global iPhone shipments in 2025, up from 18% in 2024. Trump’s actions are viewed by Counterpoint Research as a familiar tactic to encourage Apple to localize more production within the U.S.

Key facts and figures:

Individuals: Donald Trump, Tim Cook, Tarun Pathak, Neil Shah

Organizations: Apple, Counterpoint Research

Dates: May 23, 2025, Q2 2025, 2024, 2025

Locations: United States, India, Doha, Vietnam

Tariff: 25%

iPhone Shipments (India): 25%-30% in 2025 (compared to 18% in 2024)

* $500 billion: Amount of investment Trump mentioned regarding Apple.

Overall Sentiment: -3

Trump expands Apple tariff threat to all smartphones

2025-05-24 AI Summary: On May 23, 2025, US President Donald Trump threatened Apple and other smartphone manufacturers with a 25 percent tariff unless they relocate their production to the United States. Initially, the tariff threat was directed specifically at Apple, but Trump subsequently expanded it to include all smartphone makers, including Samsung. The tariffs are slated to take effect by the "end of June."

The core issue stems from the fact that while Apple designs its products in the United States, the majority of iPhone assembly occurs in China, a country currently embroiled in a trade war with the US. While Apple has announced plans to shift some production to countries like India, Trump stated this would not be sufficient to satisfy his demands. He explicitly stated on Truth Social that he expects iPhones sold in the United States to be manufactured within the US, not India or elsewhere, and that a 25% tariff will be imposed if this condition is not met. Trump also referenced a recent conversation with Apple CEO Tim Cook, where he urged Apple to increase production in the United States instead of India.

Samsung, Apple’s main rival, faces a similar situation, with most of its production located in Vietnam, China, and India. Apple and Samsung together account for approximately 80 percent of smartphone sales in the United States. Other smartphone manufacturers, including Google, Xiaomi, and Motorola, also primarily produce their handsets abroad. Trump’s actions echo previous statements made on May 15, 2025, where he pressed Apple to bring iPhone production stateside.

The article highlights a direct conflict between Trump's trade policy and the current global production chains of major smartphone manufacturers. The potential impact of these tariffs could significantly affect the cost of smartphones for US consumers and potentially disrupt the smartphone market.

Overall Sentiment: -6

Trump Wants Apple To Make iPhones In US. Experts On Challenges He Faces

2025-05-24 AI Summary: President Donald Trump is pursuing a policy aimed at bringing Apple's iPhone manufacturing to the United States, threatening a 25% tariff on iPhones not made domestically. Commerce Secretary Howard Lutnick initially suggested millions of workers would be employed in automating the assembly process, but later stated Apple CEO Tim Cook indicated the necessary robotic technology is not yet available. Cook reportedly said he would bring production to the U.S. once the required robotic arms are developed and available.

The Trump administration intends to leverage the International Emergency Economic Powers Act (IEEPA) to impose these tariffs, potentially declaring an emergency to justify the action. Trade lawyers and professors like Sally Stewart Liang caution that there's no clear legal authority for company-specific tariffs, but the administration may attempt to use emergency powers. A case brought by 12 states challenging Trump's "Liberation Day" tariffs is currently being considered by the Court of International Trade, which will determine if IEEPA authorizes such tariffs. Tim Meyer, an international law professor at Duke University, believes the president could easily declare an emergency and impose tariffs on Apple if the administration wins this case. The possibility of including iPhones under an existing trade deficit emergency is also mentioned.

Experts express significant doubts about the feasibility of moving iPhone production to the U.S. Dan Ives, an analyst at Wedbush, estimates it could take up to a decade and result in iPhones costing $3,500 each, compared to the current retail price of around $1,200. Even without production relocation, a tariff would increase consumer costs by complicating Apple's supply chain. Brett House, an economics professor at Columbia, emphasizes that none of these scenarios are positive for American consumers.

Key individuals and organizations mentioned include: Donald Trump, Apple CEO Tim Cook, Howard Lutnick, Sally Stewart Liang, Tim Meyer, Dan Ives, and Brett House. Locations referenced are Washington, Duke University, Columbia University, and Manhattan. Dates mentioned include 2025 (publication date) and the unspecified timeframe of "up to a decade" for production relocation.

Overall Sentiment: -5

Donald Trump expands tariff threat to Apple, says 'Okay to go to India, but you're not going to sell in US without tariffs' - Times of India

2025-05-24 AI Summary: US President Donald Trump has threatened Apple with a 25% tariff on iPhones sold in the United States if the company builds them in countries other than the US, specifically citing India. This threat stems from a recent conversation between Trump and Apple CEO Tim Cook. Trump stated he had an "understanding" with Cook that iPhones would not be manufactured in India, and warned that selling iPhones built there in the US would incur tariffs. The potential tariff applies not only to Apple but also to other smartphone manufacturers, including Samsung, and is slated to take effect by the "end of June." Trump initially targeted Apple specifically, but later expanded the scope to include all smartphone makers.

The President has repeatedly addressed this issue, posting on social media and discussing it during a recent trip to Doha. In Doha, Trump directly confronted Cook, expressing concern over Apple's manufacturing plans in India, stating, "I said to him, 'Tim, you're my friend. I treated you very good. You're coming here with USD 500 billion but now I hear you building all over India.'" He suggested that Apple could build in India if it addressed India’s high tariff rates, noting that India has offered the US a deal with “literally charge[ing] us no tariff.” Cook, during Apple’s Q2 2025 earnings call, stated that existing tariffs are determined by the country where the product is made.

Trump's actions indicate a desire to incentivize Apple to manufacture iPhones within the United States. He has made it clear that he expects iPhones sold in the US to be built domestically, threatening a significant tariff if this condition is not met. The timeline for implementation is set for the "end of June," and the threat extends beyond Apple to encompass all smartphone manufacturers. Key figures involved are Donald Trump (US President) and Tim Cook (Apple CEO). Locations mentioned include the United States, India, and Doha. The potential tariff amount is 25%.

Overall Sentiment: -7

Trump's latest tariff threats knock Wall Street, European stocks and Apple lower

2025-05-23 AI Summary: The U.S. stock market experienced a downturn on Friday, May 23, 2025, triggered by President Donald Trump’s threat to impose 50% tariffs on the European Union, potentially effective June 1. This resulted in the S&P 500 falling 0.7%, marking its worst week in the last seven, while the Dow Jones Industrial Average dropped 256 points (0.6%) and the Nasdaq composite sank 1%. Trump made the announcement via Truth Social, stating trade talks with the EU were “going nowhere.” The EU is one of the United States’ largest trading partners. European stocks also declined, with France’s CAC 40 index losing 1.7%.

The impact was particularly felt by specific companies. Apple dropped 3%, becoming the heaviest weight on the S&P 500, after Trump criticized CEO Tim Cook and threatened a tariff of at least 25% on iPhones if production isn’t moved to the U.S. Trump later clarified that the tariff would apply to all smartphones made abroad, including those from Samsung. Deckers Outdoor (Hoka and Uggs) and Ross Stores both withdrew their financial forecasts for the full year, citing economic uncertainty and the impact of tariffs. Deckers' stock fell 19.9%, and Ross Stores' stock dropped 9.8%. Intuit, however, rose 8.1% after reporting stronger profits and raising its forecasts. Additionally, stocks in the nuclear industry rallied, with Oklo jumping 23% following Trump’s executive orders to expedite nuclear licensing.

The market’s reaction reflects a broader context of recent volatility. The S&P 500 had previously dropped roughly 20% below its record last month due to trade war concerns, but had since climbed back within 3% of its all-time high after Trump paused tariffs on many countries, most notably China. In the bond market, Treasury yields fell after earlier fluctuations, easing to 4.51% from 4.54% late Thursday. Asian markets showed mixed results, with Tokyo’s Nikkei 225 rising 0.5% while Shanghai’s stock market fell 0.9%.

The article highlights a pattern of Trump criticizing companies individually and demanding they absorb the costs of his tariffs, as seen in his earlier comments directed at Walmart and China. The withdrawal of financial forecasts by Deckers Outdoor and Ross Stores underscores the significant impact of trade uncertainty on businesses and their ability to plan for the future. The contrasting performance of Intuit and nuclear industry stocks demonstrates that some sectors can benefit even amidst broader market concerns.

Overall Sentiment: -5

Trump threatens tariffs on Apple iPhones and EU products

2025-05-23 AI Summary: US President Donald Trump has reignited trade tensions by threatening tariffs on goods from the European Union and Apple. He announced a potential 50% tariff on all goods sent to the United States from the EU, just hours before scheduled trade talks. Simultaneously, he warned Apple that he would impose a 25% import tax on iPhones not manufactured in America, expanding the threat to all smartphones. Trump had previously announced a 20% tariff on most EU goods, which was halved to 10% to allow for negotiations until July 8th. The EU, represented by Trade Commissioner Maroš Šefčovič, stated its commitment to securing a deal and warned of retaliation.

The article highlights a complex situation with conflicting perspectives. Trump expressed impatience with the pace of negotiations, stating his plan to raise tariffs on June 1st, though he indicated a potential delay based on a significant investment by a European company. Trade expert Aslak Berg from the Centre for European Reform believes Trump's actions are intended to increase leverage, but notes the EU is unlikely to budge. The US and EU are significant trading partners, with the EU sending over $600 billion in goods to the US last year and buying approximately $370 billion worth. Trump’s complaints center on this trade deficit, blaming unfair policies and specifically raising concerns about policies related to cars and agricultural products. Politicians from EU member states, including Ireland’s Taoiseach Micheál Martin, France’s Foreign Minister Laurent Saint-Martin, and Germany’s Economy Minister Katherina Reiche, expressed dismay and urged de-escalation through negotiation. US Treasury Secretary Scott Bessent hoped the threat would "light a fire under the EU."

The article details the broader context of Trump’s ongoing trade policies, which involve imposing and threatening tariffs on goods from countries worldwide, ostensibly to boost US manufacturing and protect jobs. Shares in the US and EU fell on Friday, with the S&P 500 down about 0.7%, Germany's Dax down more than 1.5%, and France's Cac 40 also down more than 1.5%. Apple shares fell approximately 3% after Trump’s warning, reversing a previous exemption for key electronics including smartphones. The article also notes that Trump has previously backed down from some aggressive proposals following market turmoil and business outcry.

The article presents a narrative of escalating trade tensions and conflicting viewpoints, with Trump pushing for tariffs and EU leaders advocating for negotiation. The potential impact on businesses and markets is also highlighted, with falling stock prices reflecting investor concerns. The situation remains uncertain, with the possibility of a deal contingent on a significant European investment or a continued escalation of trade disputes.

Overall Sentiment: -6

Trump threatens 50% tariffs on EU and 25% penalties on Apple as his trade war intensifies

2025-05-23 AI Summary: President Donald Trump has threatened a 50% tariff on all imports from the European Union and a 25% tariff on Apple products unless iPhones are manufactured in the United States. These threats, delivered via social media, reflect ongoing trade tensions and Trump's attempts to pressure companies into domestic manufacturing. The Republican president stated he wants higher import taxes on the EU than on China, which recently saw its tariffs cut to 30%. Trump expressed frustration with the lack of progress in trade talks with the EU, which has proposed eliminating tariffs entirely, while Trump insists on maintaining a 10% baseline tax. He posted on Truth Social, recommending a 50% tariff on the EU starting June 1, 2025, contingent on manufacturing within the U.S.

Trump also targeted Apple, demanding that iPhones be manufactured in the U.S. or face a 25% tariff. This pressure extends to other major U.S. companies like Amazon and Walmart. Apple CEO Tim Cook previously stated that most iPhones sold in the U.S. during the current fiscal quarter would come from India, with iPads and other devices from Vietnam, following Trump’s April tariffs. Analysts estimate that an American-made $1,200 iPhone could cost between $1,500 and $3,500. U.S. Treasury Secretary Scott Bessent attempted to clarify Trump’s postings, citing a “collective action problem” within the EU’s 27 member states. Bessent also stated he spoke with Cook this week, aiming to bring more of Apple’s computer chip supply chain into the U.S. The U.S. runs a “totally unacceptable” trade deficit with the EU, although the EU’s executive commission states that trade is roughly balanced when services are included, resulting in a 48 billion euro imbalance. German Foreign Minister Johann Wadephul expressed support for the EU’s efforts to “preserve our access to the American market.”

Economists and analysts offer varying perspectives on Trump’s actions. Marcel Fratscher, head of the German Institute for Economic Research, called the EU’s trade strategy with Trump a “total failure.” Mary Lovely, a senior fellow at the Peterson Institute for International Economics, believes the 50% tariffs on Europe are likely a “negotiating ploy.” Ben Wood, chief analyst at CCS Insight, highlights the "unpredictable nature of the current U.S. administration" as a significant challenge for companies like Apple. Trump has previously pledged Apple’s $500 billion investment in AI technologies domestically but publicly turned against the company recently while speaking in Qatar. The article notes that analysts are skeptical of Apple’s ability to quickly shift manufacturing to the U.S. due to complex, decades-old supply chains.

The market reacted negatively to Trump’s announcements, with the S&P 500 index down roughly 1%. Trump has repeatedly created exemptions for electronics imported from China, something he could now remove. He also threatened separate 25% import taxes on computer chips. The article concludes by noting the challenges faced by companies like Apple in navigating the unpredictable trade environment created by the Trump administration.

-5

Trump threatens 25% tariff on Apple, other tech giants if they don't start making devices in America

2025-05-23 AI Summary: President Donald Trump has threatened Apple with a 25% tariff on iPhones sold in the United States if the company does not begin manufacturing them within the country. This threat, announced via Truth Social on May 23, 2025, follows a pattern of Trump targeting U.S. companies over their business practices. Apple shares fell 3% on Friday in response, and are down approximately 20% year-to-date, alongside concerns about the company’s ability to keep pace in the AI race. The tariff would also apply to devices imported by companies like Samsung and other manufacturers, and could be implemented by the end of June. Trump believes he has an "understanding" with Apple CEO Tim Cook regarding domestic production, and the tariff is a response to Apple's continued overseas manufacturing. An Apple spokesperson declined to comment.

The article details a broader trend of Trump attempting to influence market behavior and targeting companies he perceives as not complying with his directives. He has also threatened a 50% duty on the European Union and recently approved a deal between U.S. Steel and Nippon Steel, despite previous opposition during his campaign. Trump has directly criticized Walmart for potential price increases, demanding they "EAT THE TARIFFS," and threatened Barbie maker Mattel with a 100% tariff if production isn’t moved to the U.S. He personally called Amazon founder Jeff Bezos to complain about a report regarding tariff labeling at checkout, which was subsequently abandoned. Treasury Secretary Scott Bessent stated Trump is “trying to bring back precision manufacturing to the U.S.” and highlighted Apple’s reliance on semiconductors as a vulnerability.

The article highlights the potential costs associated with American-made iPhones, with Wall Street analysts estimating prices ranging from $1,500 to $3,500, depending on the extent of supply chain reshoring. Currently, at least half of Apple’s iPhones are manufactured in China, and Reuters reported plans to shift all production to India by the end of 2026. Wedbush Securities managing director Dan Ives called the idea of U.S.-made phones a “fairy tale” and believes Apple will attempt to negotiate with the administration. The conservative Wall Street Journal editorial board criticized Trump’s actions as potentially "Marxist" and compared them to Kamala Harris’s anti-price-gouging plan. Key individuals and organizations mentioned include Donald Trump, Tim Cook, Scott Bessent, United Steelworkers International President David McCall, Jeff Bezos, and Nippon Steel.

The article also notes the reactions of other companies and stakeholders. Walmart issued a statement saying it would work to keep prices “as low as we can,” while Target stated charging customers more would be its “very last resort.” The U.S. Steel deal saw U.S. Steel shares soar 20%. The article presents a picture of a president actively attempting to dictate corporate strategies, breaking with established norms and facing criticism for potentially overstepping his authority.

Overall Sentiment: -6

Trump Rattles Markets With Fresh Tariff Threats on EU, Apple

2025-05-23 AI Summary: President Donald Trump has reiterated his threat to impose a 50% tariff on goods from the European Union, with the implementation slated to begin on June 1. He also indicated a potential 25% tariff would apply to all foreign-made smartphones. The president’s actions represent an escalation of a trade war that is currently unsettling markets and creating confusion among businesses.

Trump’s stated rationale for the tariffs centers on complaints regarding the EU's negotiation pace and its alleged unfair targeting of US companies through lawsuits and regulations. He expressed confidence that the EU lacks the ability to avoid the higher tariff rate. Key details include:

Tariff on EU Goods: 50%

Tariff on Smartphones: Potential 25%

Implementation Date (EU Tariffs): June 1

The article highlights the potential impact of these tariffs on both the EU and US economies, portraying a scenario of heightened trade tensions and uncertainty. The president’s statements suggest a firm stance and a lack of willingness to compromise on the trade dispute.

The article's narrative focuses on the president's perspective and actions, presenting a picture of escalating trade conflict driven by perceived unfair practices by the EU. The impact on markets and businesses is noted as a consequence of these actions.

Overall Sentiment: -5

Stock market today: Dow, S&P 500, Nasdaq fall as Trump tariff threats roar back, US deficit anxiety deepens

2025-05-23 AI Summary: US stocks experienced a decline on Friday, resulting in weekly losses as investors reacted to President Trump's renewed tariff threats and the potential economic impact of his proposed tax bill. The Dow Jones Industrial Average sank 0.6%, the S&P 500 fell roughly 0.7%, and the Nasdaq Composite backed off about 1%. All three major averages saw declines exceeding 2% for the week.

Trump’s comments triggered the market downturn. He stated that Apple (AAPL) would face a 25% tariff on iPhones not manufactured in the US, citing Apple’s shift of some manufacturing to India while maintaining key suppliers in China, which is embroiled in a trade war with the US. He further implied that this tariff would extend to other cell phone manufacturers like Samsung. Trump also threatened to increase tariffs on EU imports to "a straight 50%" beginning June 1, citing stalled trade talks with the bloc. These warnings disrupted a previously calmer market mood. Companies are already grappling with supply chain complications and potential economic hits from Trump's broader tariff policies, with several holding off on providing full annual guidance due to this uncertainty.

Concerns about the US deficit, fueled by the proposed tax bill, contributed to rising Treasury yields. The bill, which cleared a key hurdle in the House, is projected to potentially boost the US deficit by trillions. Longer-dated Treasury yields, including the 30-year yield (^TYX), which recently reached highs not seen since the financial crisis, were already in focus after a Moody's downgrade. Attention is also turning to Nvidia (NVDA) earnings, due Wednesday after the bell, as the chip giant faces both trade policy challenges and debates over costly AI investments. Options traders anticipate lower volatility in Nvidia's stock following its earnings release.

The article highlights a confluence of factors negatively impacting the stock market: escalating trade tensions with China and the EU, concerns about the US deficit and rising Treasury yields, and uncertainty surrounding the economic impact of the proposed tax bill. The potential for increased tariffs on major tech companies and the broader implications for supply chains are key concerns, as is the market’s anticipation of Nvidia’s earnings report.

Overall Sentiment: -6

Markets close lower after Trump lobs tariff threats at Apple and EU

2025-05-23 AI Summary: Stocks experienced a decline on Friday following President Trump's announcement of potential new tariffs targeting both Apple and the European Union. The S&P 500 fell 39 points, closing at 5,803, while the Dow Jones Industrial Average dropped 256 points to 41,603. The Nasdaq shed 189 points, closing at 1.0% lower.

The core of the market reaction stems from Trump's threats to impose a 50% tariff on the European Union, effective June 1st, and a potential 25% tariff on iPhones produced abroad. Klaus Baader of SG Securities characterized this as a frustrating situation for investors, citing the uncertainty caused by ongoing trade policy back-and-forth. Trump specifically stated he would impose a 25% tariff on Apple if the company did not shift some of its iPhone production to the U.S., causing Apple's stock to fall 3% by market close. The president also posted about imposing a "straight 50% Tariff" on the EU, stating discussions were "going nowhere." A 90-day pause on reciprocal tariffs will end on July 9th, and a separate 90-day reduction in tariffs on Chinese goods will conclude in August. The U.S. has publicly announced deals with China and the United Kingdom.

Beyond the equity market, the bond market is exhibiting increased concern. Yields on 10-year Treasury notes ticked up before settling at 4.5% by Friday afternoon, reflecting diminishing investor confidence. This comes amid growing worries about the country's debt burden, as Moody's Ratings downgraded the U.S. credit rating on March 16th from Aaa to Aa1, citing increased government debt and interest payment ratios. A House Republican spending bill currently being debated in Congress is projected to add trillions to the national debt. Gregory Daco of EY-Parthenon predicts a period of "extreme volatility" in the markets, particularly with further tariff developments anticipated. He notes the equity market focuses on adaptation and fiscal spending, while the bond market is more concerned about trade tensions, budget deficits, and an unsustainable fiscal trajectory.

The article highlights a divergence in market responses. The equity market is more optimistic about businesses adapting to higher tariffs and the potential benefits of increased fiscal spending. Conversely, the bond market is increasingly worried about persistent trade tensions, rising budget deficits, and the country’s overall fiscal health.

Overall Sentiment: -6

Donald Trump threatens huge tariffs on EU goods and smartphones

2025-05-23 AI Summary: Donald Trump has threatened to impose significant tariffs on goods from the European Union, proposing a 50% tariff set to begin on June 1. This would impact luxury items, pharmaceuticals, and other products manufactured by European companies. He also stated his expectation that Apple, specifically under the leadership of Tim Cook, will manufacture iPhones within the United States rather than in India or elsewhere. Trump indicated that this policy would extend to companies like Samsung and any other manufacturers of similar products to ensure fairness.

The proposed tariffs follow a previous instance in April when Trump's tariffs, raising import costs by roughly 25%, triggered a selloff in US assets, including stocks, the dollar, and Treasury bonds. However, the White House subsequently backed off from these levies after raising tariffs on China to over 100% earlier in April, granting exclusions for smartphones and other electronics, providing relief to companies like Apple and other tech firms reliant on imported products.

Despite the threat of EU tariffs, the US has recently agreed to reduce import taxes on a set number of British cars and allow some steel and aluminum into the country tariff-free, as part of a trade deal between the US and UK finalized earlier this month. This demonstrates a selective approach to trade policy, with both punitive measures and concessions being implemented.

Key facts extracted from the article include:

Proposed Tariff: 50% on EU goods

Start Date: June 1

Affected Goods: Luxury items, pharmaceuticals, and other European manufactured goods

Individuals Mentioned: Donald Trump, Tim Cook

Companies Mentioned: Apple, Samsung

Previous Tariff Increase: Roughly 25% in April

Trade Deal: US and UK, reducing tariffs on British cars and allowing tariff-free steel and aluminum.

Overall Sentiment: -5

Apple stock drops after Trump threatens 25% tariffs unless they build iPhones in US

2025-05-23 AI Summary: Apple's stock experienced a decline on Friday, May 23, 2025, following a threat from President Donald Trump to impose a 25% tariff on all Apple products sold in the United States unless the company relocates iPhone manufacturing to the U.S. The stock fell by approximately 3%, representing a decrease of around 6 points, as markets closed. This drop occurred after Trump made the announcement via Truth Social. The Dow Jones also dropped by roughly 250 points amid broader fears stemming from Trump’s tariff threats against Apple and the European Union. Pre-market trading saw a 3.5% drop, which partially recovered to a 2.8% decrease by early Friday morning.

Trump stated he had previously informed Apple CEO Tim Cook that he expected iPhones sold in the U.S. to be manufactured in the U.S., not in India or elsewhere. He added that a 25% tariff would be levied if this condition wasn't met. This threat followed a meeting between Trump and Cook at the White House on Wednesday, according to the Wall Street Journal. Analysts Dan Ives of Wedbush and Barton Crockett of Rosenblatt Securities expressed skepticism regarding Trump’s proposal. Ives estimated it would take 5 to 10 years and increase the price of an iPhone to $3,500, deeming it “not realistic.” Crockett described Trump’s request as “asking for the impossible.” Cook has indicated that Apple is exploring moving iPhone manufacturing from China to India, a move that reportedly displeased Trump during a recent trip to Qatar. Trump also threatened a 50% tax on all imports from the European Union, claiming the organization's "primary purpose" has been "taking advantage of the United States," and recommended a 50% tariff starting June 1, 2025, unless products are built in the U.S.

Treasury Secretary Scott Bessent defended Trump’s actions, claiming the president is “trying to light a fire” under Apple and the EU and aiming to bring back precision manufacturing to the U.S. Bessent emphasized the importance of securing the semiconductor supply chain, noting that a significant portion of Apple’s components rely on semiconductors. Key individuals and organizations mentioned include: Donald Trump (President), Tim Cook (Apple CEO), Dan Ives (Wedbush analyst), Barton Crockett (Rosenblatt Securities analyst), Scott Bessent (Treasury Secretary), and the European Union. Dates and locations of significance are: May 23, 2025 (publication date), Wednesday (date of Trump-Cook meeting), Qatar (location of Trump's comments to Cook), and June 1, 2025 (proposed tariff start date).

Overall Sentiment: -3

Dow slides 200 points, S&P 500 tumbles for a fourth day after Trump threatens tariffs on EU, Apple: Live updates

2025-05-22 AI Summary: The U.S. stock market experienced declines on Friday, May 22, 2025, triggered by renewed trade tensions stemming from President Donald Trump's statements regarding tariffs. The Dow Jones Industrial Average fell by 256.02 points, closing at 41,603.07, representing a 0.61% decrease. The S&P 500 shed 0.67%, settling at 5,802.82, while the Nasdaq Composite dropped 1%, closing at 18,737.21. Apple shares specifically fell 3% after Trump posted on Truth Social, recommending a 25% tariff on iPhones sold in the U.S. if they are not manufactured within the country. This marks the first instance of Trump targeting a specific company in his current tariff rollout. Furthermore, Trump stated that trade discussions with the European Union were "going nowhere" and suggested a 50% tariff on the EU, effective June 1, 2025.

The market's initial reaction was negative, however, CNBC's Eamon Javers reported that the White House did not interpret Trump's remarks as a formal policy statement, which caused the market to partially recover from its lows. This follows a period where the market had been recovering due to a 90-day pause on stiffest tariffs and preliminary agreements reached with the U.K. and China. Investment strategist Ross Mayfield at Baird noted that the market had enjoyed one of its best six-week stretches in 75 years, and that re-escalating trade war rhetoric threatened that momentum. United States Steel shares surged 21% after Trump announced a "partnership" with Nippon Steel, following the blocking of Nippon Steel’s bid to acquire its U.S. rival earlier in the year. The S&P 500, Dow, and Nasdaq all lost more than 2% on the week.

Rick Wedell, president and chief investment officer at RFG Advisory, warned that the fluctuating trade tensions are likely to be a permanent feature of Trump's second term, advising investors to avoid a "false sense" of security regarding trade policy. Wedell emphasized that the administration views trade as a defining characteristic of its legacy and is unlikely to deviate from its stance. Investors had been speculating that more agreements would roll out during the three-month pause on tariffs, but Trump’s recent actions suggest that hope may be misplaced.

The article highlights a shift from a period of de-escalation in trade tensions to a renewed focus on tariffs, creating uncertainty in the market. The specific actions targeting Apple and the EU, coupled with the potential for further tariffs, are viewed as a step in the wrong direction by investors. The article suggests a long-term expectation of volatile trade policies throughout the remainder of the administration.

Overall Sentiment: -6