Why Trump's Metal Tariffs Won't Lead to the All-American iPhone: A Closer Look at the Impact on Consumer Electronics
Trump's 25% tariff on aluminum and steel won’t significantly affect the price of iPhones.
Matilda
Why Trump's Metal Tariffs Won't Lead to the All-American iPhone: A Closer Look at the Impact on Consumer Electronics
In March 2025, President Donald Trump’s administration announced a new round of tariffs—this time, a 25% fee on imported aluminum and steel, regardless of their country of origin. While the immediate effect of these tariffs is expected to be significant in industries reliant on raw materials, many are questioning whether it will lead to a shift in how products like the iPhone are made. Specifically, would these tariffs spark the production of an “All-American iPhone”? The short answer is no. While metals like aluminum are indeed essential for building products like smartphones, these tariffs don’t directly impact the pricing of finished goods like the iPhone. To understand why, we need to examine the global nature of Apple’s supply chain, the way tariffs affect raw materials versus finished goods, and the economic realities of domestic manufacturing. The Nature of Trump's Metal Tariffs The U.S. government’s decision to impose a 25% tariff on imported aluminum and steel is part of an …