Donald Trump News: Trump's move will increase problems for Made in India iPhones, this is the plan

Donald Trump News: Donald Trump's decision to impose reciprocal tariffs on India may increase the difficulties of 'Made in India' iPhones. After the implementation of this tariff, the same tax will be levied on products going from India to the US as is levied on things coming from the US to India. This move may pose new challenges for many tech companies including Apple.

Impact of Made in India on Apple

Apple is currently one of the largest companies exporting electronic products from India. Apple is increasing its manufacturing in India to sell its products in the American and global market. Currently, no additional duty is imposed on Made in India products in the US, which saves Apple in production costs.

However, Apple may suffer huge financial losses due to Trump's new tariff decision. If the US imposes 16.5% duty on products going from India, it will become less economically profitable for Apple to manufacture in the Indian market. Apart from this, other companies like Samsung and Motorola may also be affected by this change.

Made in India products will become more expensive than China

The Indian government has already imposed custom duty on products coming from abroad to promote domestic manufacturing. For example, products coming to India from America attract up to 16.5% duty. If America also imposes the same tariff on products imported from India, the cost of Indian products will increase.

The biggest impact of this will be that the price of Made in India iPhone may be higher than the iPhone made in China. The Trump administration has also announced a 10% duty on China, but a 16.5% tariff for India will make it more expensive.

Growing challenges for Apple

China is the largest manufacturing hub for Apple, from where the company sends its products to global markets. If 16.5% duty is imposed on products going from India to the US, then manufacturing in India will not be beneficial for Apple.

This may force Apple to reconsider its production strategy. The company may limit manufacturing units in India or decide to increase production in other countries.

Conclusion

This decision of Donald Trump will affect not only Apple but also other tech companies. Due to the increase in the cost of Made in India products, companies will have to look for new options. If this tariff is implemented, it could prove to be a big blow to India's electronics manufacturing industry.