Trump Threatens Major Tariffs on Phones, EU Imports

President Donald Trump has announced a 25% tariff on all smartphones sold in the U.S. that are manufactured abroad, targeting Apple, Samsung, and other foreign phone makers, with the policy set to begin at the end of June. Trump explained that only phones produced domestically would be exempt from the tariffs, aiming to incentivize companies to relocate manufacturing to the U.S. Industry analysts have described the prospect of large-scale smartphone production in the U.S. as 'nearly impossible.' Following the announcement, Apple shares dropped over 3%. Additionally, Trump threatened to impose a 50% tariff on all imports from the European Union starting June 1, 2025, due to stalled trade negotiations. These measures are part of Trump's broader strategy to encourage domestic manufacturing and implement protectionist trade policies.