The U.S. government has been pushing tech manufacturers to shift production back to American soil through the imposition of tariffs. But when it comes to tech giants like Apple and its flagship product, the iPhone, is such a move even realistic? Experts explain why relocating production to the U.S. is a far more complex challenge than it may seem.
Tariffs imposed by the U.S. have sent shockwaves through the global economy. Early consequences are already being felt, particularly among startups, many of which have spoken out against the rising costs. In fact, some have even appealed directly to then-President Trump in an open letter. Although there have been moments of leniency—such as the temporary suspension of tariffs on smartphones and laptops—the broader trade measures remain in place. Their primary goal: to compel manufacturers to bring production back to the United States.
Why iPhone Manufacturing in the U.S. Isn’t Feasible
Back in 2015, Apple CEO Tim Cook openly stated that manufacturing the iPhone in the U.S. is no longer feasible. His reason highlights a structural shift in the American economy—away from manufacturing and toward service-oriented industries.
“You could probably fit every tool-and-die maker in the United States in this room,” Cook remarked during an interview. “In China, you’d need several football fields to fit them all.” His comment underscores the stark contrast in industrial capacity between the two nations and reveals the magnitude of resources Apple depends on outside the U.S.
Further insight comes from Dan Ives, a technology analyst at Wedbush Securities. In an interview with The Guardian, Ives explained that a fully American iPhone supply chain would pose significant financial risks for Apple. According to his estimates, it would take over three years and require at least $30 billion just to bring 10% of iPhone production stateside.
The High Cost of Domestic Production
Such a massive investment would inevitably affect the retail price of Apple devices. Analysts suggest that should Apple manufacture iPhones entirely in the U.S., the cost of each device could rise by hundreds of dollars. This would likely be passed on to consumers, making the iPhone significantly less competitive in the global market.
Moreover, the American manufacturing workforce currently lacks the scale and specialization that Apple’s operations demand. Building that infrastructure from the ground up would not only be time-consuming but also create logistical hurdles and supply chain disruptions.
Conclusion
While the U.S. government’s push for domestic manufacturing is well-intentioned, especially in the context of economic independence and job creation, experts agree that shifting iPhone production to the U.S. is unrealistic in the near future. The scale, cost, and complexity of such an undertaking would put immense pressure on Apple and its consumers alike.
For now, it appears that the iPhone will continue to be the product of a global supply chain—designed in California, but assembled in a network of factories across Asia.
