Trump says he doesn’t want Apple manufacturing products in India
During his visit to Qatar, US President Donald Trump stated that America is "not interested" in Apple establishing a manufacturing hub in India. According to reports, Trump made the comment while referencing a recent conversation with Apple CEO Tim Cook. Reiterating his “America First” stance, he added that India could "take care" of itself.
His visit to Qatar is part of a broader tour of the Middle East. As per reports, Trump is pushing to re-industrialise the US by promoting local manufacturing operations instead of offshoring to countries such as India.
Trump’s concerns echo a broader fear gripping the US economy as manufacturing employment in the US continues to decline steadily. According to experts, the decline in manufacturing-related employment has not given way to white collar high tech jobs as it should have, being overshadowed by rising employment in the poorly paid service sector.
Declining employment in domestic manufacturing sector as a result of offshoring operations.
However, Apple has already been shifting manufacturing responsibilities to India. Data from reports indicates that Apple has already produced approximately $22 billion worth of goods in India in fiscal year (FY) 2024-25.
Moreover, the company intends to make India the primary producer of US-bound iPhones by the start of 2027. India has been able to garner Apple’s attention as the company aims to limit the commercial risks that are associated with China. Moreover, while the tariff war has been suspended temporarily, the company is wary of similar escalations in the coming periods as China is a large manufacturer of iPhones.
Reports have revealed that Apple is choosing to move its production base to India despite higher production costs compared to China. However, owing to the wage differentials, it is unlikely that Apple’s production processes will shift to the US, as costs are likely to balloon.
Aside from Trump’s comments about the offshoring of manufacturing processes to other countries, he also reportedly managed to secure an economic package worth a staggering $243.5 billion. Moreover, Trump has also managed to boost bilateral ties with Qatar, ensuring greater collaboration across the technology and energy sectors.
According to reports, Mukesh Ambani, chairman of Reliance Industries, was accompanying Emir Sheikh Tamim of Qatar at the high-profile meeting with Trump. Trump's meeting with Ambani outlines his aims to foster greater commercial ties with Indian players while simultaneously attempting to industrialise the US to reinstate its status as the manufacturing hub of the world.