Donald Trump threatens Apple, Samsung with 25% tariffs

The President says he will implement the tariffs if phones are made outside of the U.S.

Transcript

00:00President Trump has issued a direct warning to Apple and Samsung.

00:03Make your phones in the U.S. or get hit with a 25% tariff.

00:07Trump took to social media to address Apple CEO Tim Cook directly, writing,

00:11I have long ago informed Tim Cook of Apple that I expect their iPhones that will be sold in the United States of America

00:16will be manufactured and built in the United States, not in India or anyplace else.

00:21Less than 24 hours before Trump's message,

00:23Apple had reportedly been making plans with its key supply partner Foxconn for a $1.5 billion plant in India.

00:30The Foxconn facility in India will assemble key screen components for iPhones.

00:34Earlier this month, Cook said the company would incur almost a billion dollars in costs directly related to tariffs.

00:40But it could have been much worse had Trump not made electronics exempt from tariffs on China.

00:44A new iPhone costs about $1,200, but industry analysts say an American-made iPhone could cost nearly triple that.

00:51That'll do it for your Daily Briefing. From New York City, I'm Kelsey Barbario with The Street.