What you need to know
- US President Trump is gunning for a 25% tax on phones not made in the U.S., including iPhones and Samsung devices.
- Even though iPhones are designed in the U.S., they’re built in China, and that’s a major headache with the U.S.-China trade war raging.
- Apple tried sidestepping the heat by shifting some production to India, but Trump wasn’t impressed.
- The tariff heat isn’t just on Apple anymore: Android brands like Samsung are likely to feel it.
Both Galaxy phones and iPhones are caught in the same political storm at present. President Donald Trump is pushing a plan that could slap a 25% tariff on smartphones, unless they’re made in the U.S., The Wall Street Journal reports. It’s a bold move that puts serious pressure on Apple, Samsung, and the rest to start building stateside.
Even though Apple designs its products in the U.S., most iPhones are still put together in China, a country that's knee-deep in a trade war with the U.S.
Just last month, Trump dropped some major tariff news on Chinese imports, spiking up to 145% at one point, which really shook up Apple investors. But a few days later, the White House hit pause and gave phones and laptops a temporary pass.
India detour didn’t help
Trump has been pushing Apple to ditch China and build iPhones in the U.S. Instead, Apple made a move to India, but that didn’t exactly win the president over.
Now, his push for an all-American iPhone is dragging Samsung and other Android players into the crossfire, putting real economic pressure on the whole smartphone market in the country.
At first, Trump had his sights set squarely on Apple, which is pretty unusual for trade policy to single out one company like that. But it didn’t stop there. Before long, the tariff talk spread to cover all smartphone makers, pulling everyone into the mix.
As a result, Samsung reportedly fast-tracked Galaxy S25 production, adding 800,000 more units this month alone, mostly the Ultra model.
Speaking to reporters at the White House last Friday, Trump made it clear that he’s ready to slap a 25% tariff on Samsung and basically any phone brand not building their devices in the U.S.
Price hikes incoming
There’s pretty much no chance Samsung is going to eat the extra costs from these tariffs. According to Korean media, the company is likely to pass the hike straight to customers. It’s not a mystery move, it’s just business reacting to politics.
Word from Korean media says these tariffs could send Samsung phone prices in the U.S. soaring by up to 40%. That kind of jump really shows how deep the impact of Trump’s trade push could go.
