During a recent earnings call, Apple CEO Tim Cook revealed that tariffs imposed by the Trump administration could add an estimated $1.1 billion to the company’s costs in the September quarter. This comes after Apple reported spending $800 million on tariffs in the June quarter, which was slightly less than the $900 million it had previously projected.
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Cook noted that the “bulk of the tariffs” paid so far were related to the International Emergency Economic Powers Act (IEEPA), impacting products manufactured in China.
Trump’s broad tariffs have affected all of Apple’s devices, which are primarily manufactured in China, India, and Vietnam. Cook specified that while the “majority” of iPhones sold in the U.S. are manufactured in India, most Macs, iPads, and Apple Watches are produced in Vietnam. The former President has also threatened higher tariffs on Apple if the company does not relocate more of its production to the United States.
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Despite these tariff-related costs, Apple’s quarterly revenue saw a significant jump of 10% to $94 billion between April and June, with strong sales of both iPhones and Macs.
