U.S. President Donald Trump announced that Apple CEO Tim Cook has committed to relocating Apple's manufacturing operations from Mexico to the United States. Trump mentioned that Cook plans to close two factories in Mexico and shift production to the U.S. to avoid tariffs. Cook has also pledged to invest several hundred million dollars in the U.S.
The specific factories Trump referred to were not identified. Foxconn, responsible for producing iPhones, has significant manufacturing facilities in Mexico and has announced plans to expand its presence there. Previously, a video surfaced showing Cook visiting the White House for a meeting with Trump. Cook described the meeting as positive.
Earlier, Trump signed an executive order imposing a 25% tariff on imports from Mexico and Canada, though an agreement to delay these tariffs for a month was reached. Trump also announced a 25% tariff on all U.S. imports of steel and aluminum, seeking "reciprocal tariffs" with trade partners. Analysts suggest that Apple could be caught in an escalating trade war. During Trump's first term, Cook managed to secure tariff exemptions for iPhones, but Trump hinted that future exemptions might not be granted as he aims to boost U.S. manufacturing.
