Trump vs Apple’s Global Supply Chain
As Apple ramps up its shift from China to India for iPhone manufacturing, Trump is doubling down on his demand for “Made in USA” products. He recently stated that iPhones built outside U.S. borders would face a direct 25% import tariff. However, targeting a single brand for such a tariff isn’t legally feasible, so all imported smartphones could be affected.
Collateral Damage: Samsung Under Threat
This spells trouble for Samsung, which manufactures a large portion of its Galaxy phones in Vietnam and India. The South Korean media reports that under Trump’s tariff plans, Galaxy phones sold in the U.S. could become up to 40% more expensive, posing a huge challenge for Samsung’s pricing strategy in its second-largest market.
Samsung’s Likely Response: Pass the Burden
While consumers might expect Samsung to eat some of the added costs, reports suggest the company has no intention of doing so. Instead, it plans to pass the entire tariff burden to buyers, assuming the public will understand that price hikes are tariff-driven, not corporate greed.
Another Blow: Chip Costs on the Rise
In addition to tariff concerns, Qualcomm is reportedly considering raising prices for its Snapdragon 8 Elite Gen 2 chip, which powers many of Samsung’s flagship devices. If this happens, it would further drive up the production costs of Galaxy phones, potentially pushing them out of reach for many customers in 2026.
