Politics
'Nowhere to hide.' How Apple and others in Silicon Valley are bracing for Trump tariffs
SAN FRANCISCO — The iPhone is a quintessentially 21st century product — Californian in its creation and design and now enmeshed in the global economy.
Apple makes most of its iPhones in China, though in recent years the Cupertino-based company has made more of its products in India, Vietnam and other nations. In all, the tech giant says it relies on more than 50 countries and regions to put AirPods, iPads and MacBooks in the hands of consumers.
Now, that global supply chain is under siege.
This week, President Trump said he would impose a baseline 10% tariff on imports from all countries on Saturday. His administration also added tariffs of 34% on China, 46% on Vietnam and 26% on India.
“Apple has nowhere to hide,” said Eric Harwit, professor of Asian studies at the University of Hawaii at Manoa. “No matter where they’re making their technology, they’re going to be suffering, they’re going to see higher costs.”
Trump’s sweeping tariffs have rattled both investors and some of the world’s most valuable tech companies that have fueled the global economy and Silicon Valley’s growth. They’ve also raised questions about whether these global businesses will pass the higher costs on to consumers or slash their payrolls.
Apple has been especially hard hit. Its stock plunged more than 9% on Thursday and dropped another 7% on Friday to close at $188.38.
Share prices of other tech titans, including Google parent company Alphabet, Meta, chipmaker Nvidia and Amazon, also saw big declines, causing the tech-heavy Nasdaq composite to fall 5.8% on Friday — putting it more than 20% below its record set in December.
The unease reflects worries among investors that the tariffs could cause lasting damage, potentially making it harder for the U.S. tech industry to compete globally and dominate the race to deploy artificial intelligence technology, analysts said.
The duties also are expected to drive up the costs of consumer electronics, including the iPhone, as products become more expensive to produce.
“Technology pervades everyday life and these tariffs are attacks on consumer electronics,” said Todd O’Boyle, vice president of technology policy at the Chamber of Progress, a trade group. “They’re attacks on everything that we buy and that includes any foreign parts with global supply chains.”
The levies could cause consumers to pay as much as $2,500 more for an iPhone, which costs roughly $1,000, depending on the model.
Apple did not respond to a request for comment.
Meta, Amazon and Alphabet also produce consumer gadgets but make billions of dollars annually from ads purchased by brands in other countries, which some analysts say could also drop if these advertisers pull back spending.
Meta declined to comment, but its annual report cites the possibility that tariffs or a trade dispute could result in a drop for its China-based ad revenue. The company has also expanded production of its mixed reality headsets in Vietnam.
Alphabet — which makes phones, earbuds, smart speakers and other consumer electronics — also has cited tariffs among the manufacturing and supply chain risks that could harm its business. It did not respond to a request for comment.
The White House said it’s imposing tariffs because it wants to shift more manufacturing jobs back to America.
Relying too much on foreign producers could threaten economic security by “rendering U.S. supply chains vulnerable to geopolitical disruption and supply shocks,” Trump said in his executive order.
“These America First economic policies delivered historic job, wage, and investment growth in his first term, and everyone from Main Street to Wall Street is again going to thrive as President Trump secures our nation’s economic future,” said White House spokesman Kush Desai.
He cited recent multibillion-dollar commitments made by companies such as Taiwan Semiconductor Manufacturing Co. and Apple to build more manufacturing plants in the United States.
The tech industry was bracing for more tariffs ahead of what the president dubbed “Liberation Day.”
The Trump administration already imposed tariffs on certain auto parts and imported aluminum and steel, materials that tech companies use to build data centers that store and manage computer hardware and equipment.
The administration spared those materials, along with copper, from its latest tariffs. Semiconductors that power electronics and AI systems also were excluded from what the White House dubbed “reciprocal tariffs.”
Exactly how tech companies will respond to the costs of tariffs is still unclear. Although Trump wants businesses to shift manufacturing back to the United States, they could also move production to places with lower tariff rates. It would take years for businesses to build new factories.
It’s also possible these tariffs will not remain.
During Trump’s first term, Apple got exemptions from tariffs imposed on imports from China for some of its products including its smartwatch. Trump’s tariffs in his second term go well beyond China, affecting more countries.
Nick Vyas, founding director of the Randall R. Kendrick Global Supply Chain Institute at USC’s Marshall School of Business, said the Trump administration is signaling to businesses that simply shifting production to places outside China isn’t enough.
“‘Every dollar that I open up my market for you, I need you to open up the market for me [to] the same degree,’” he said, describing Trump’s thinking.
Some tech companies have made efforts to bring more manufacturing back to the U.S.
Among them is Santa Clara, Calif.-based chipmaker Nvidia, one of the world’s most valuable companies.
Although it appears Nvidia would be spared from the brunt of the tariffs because of the exemption for semiconductors, some industry observers said more tariffs could still be coming.
Trump told reporters on Thursday that “chips are starting very soon” when asked if tariffs for chips are off the table.
“We’re manufacturing in so many different places. We could shift things around,” Nvidia Chief Executive Jensen Huang said at a Q&A with analysts last month. “Tariffs will have a little impact for us short term. Long term, we’re going to have manufacturing onshore.”
Apple in February said it would invest $500 billion in the U.S. that would go toward various efforts, including opening a manufacturing facility in Houston.
The company said in its annual report that “substantially all” of its manufacturing is done by partners primarily located in mainland China, India, Japan, South Korea, Taiwan and Vietnam.
Shifting where iPhones and other Apple products are made is not easy.
China has engineers who can meet the high quality specifications on Apple products and the U.S. doesn’t have that great a number of engineers with those same skills, Harwit said.
“It’s really that level of manufacturing expertise that Apple developed over many years that makes it very difficult for Apple to give up on China and for the U.S. to find the skilled workers really needed in the United States to meet their needs,” he added.
Daniel Ives, a managing director at Wedbush Securities, said that it would take Apple three years and $30 billion to move just 10% of its supply chain from Asia to the U.S. Plus, the iPhone’s price tag would grow to $3,500, he estimated.
“The chances that Apple and the overall tech supply chain moves to the U.S. is a fantasy, fictional tale, unless you like $3,500 iPhones, $2,500 TVs and $300 AirPods,” Ives said.
Politics
How Republicans and Democrats are Redistricting Urban Areas to Tilt the House
American cities — densely populated and overwhelmingly Democratic — are typically prime targets for aggressive gerrymanders. This past year has been no different, as urban areas became casualties of newly partisan maps, drawn by both Republicans and Democrats in a rare bout of middecade redistricting.
With nearly 80 percent of the United States population living in urban areas, according to the census, mapmakers using modern data technology can surgically split cities block by block to eke out a partisan advantage. They “pack” like-minded voters into a single district, or “crack” them, linking slivers of concrete-covered downtowns with farmland hundreds of miles away.
While the intentions are often political, these julienned districts often leave communities with little in common, and no cohesive representation in Congress. Roughly 37 percent of congressional districts are either urban or an urban-suburban mix, while 63 percent remain rural or rural-suburban, according to the District Density Scale.
So far this year, state lawmakers have carved up major Democratic cities in the nationwide redistricting arms race, drawing new maps in five states. Virginia could be next, if voters approve a referendum Tuesday to redraw boundaries and potentially add four Democratic seats.
Kansas City, Mo.
Take the Kansas City, Mo., area as a clear example. Late last year, Gov. Mike Kehoe signed into law a new map that would pave the way for eliminating a Democratic seat and add a Republican one, potentially ousting a longtime representative, Emanuel Cleaver, who was also the first Black mayor of Kansas City.
2024 districts
The proposed map effectively slices apart — or “cracks” — the old Fifth District, which previously held a majority of Democratic-dominated Kansas City and its metropolitan area, into three parts.
2024 districts
District
Margin
5th
Dem. +23.2 D +23.2
6th
Rep. +38.9 R +38.9
4th
Rep. +42.3 R +42.3
New districts
District
Margin
5th
Rep. +18.2 R +18.2
4th
Rep. +21.2 R +21.2
6th
Rep. +26.7 R +26.7
As a result, Democratic voters from Kansas City are spread out across three new districts where they are likely to be outnumbered by Republican voters. The Kansas City area went from having one Democratic district and two Republican districts to having three Republican districts.
Northern Virginia
While Missouri illustrates how a single-district city can be cracked apart to dilute the votes of a densely packed partisan area, Virginia is taking a different approach. Its proposed map spreads out Democrats from the crammed northern Virginia suburbs into multiple districts spreading more than a hundred miles into deeply red areas for the opposite outcome: to tilt more districts blue.
2024 districts
While there is no central city in northern Virginia — Fairfax County, the state’s largest municipality, boasts nearly 1.2 million people but sprawls across nearly 400 square miles — the northern reaches of the state have a population in the millions and are mostly Democratic.
2024 districts
District
Margin
8th
Dem. +49.3 D +49.3
11th
Dem. +34.0 D +34.0
10th
Dem. +8.3 D +8.3
7th
Dem. +2.9 D +2.9
6th
Rep. +23.8 R +23.8
New districts
District
Margin
8th
Dem. +17.5 D +17.5
11th
Dem. +13.4 D +13.4
10th
Dem. +12.4 D +12.4
7th
Dem. +8.1 D +8.1
1st
Dem. +7.5 D +7.5
The result is an exceptionally aggressive “cracking” of Democratic voters in the northern part of the state across five congressional districts, which would lead to the elimination of three Republican-held seats (the proposed Virginia map eliminates all but one Republican-controlled district).
Houston
In larger cities like Houston, mapmakers have the opportunity to get creative in their carving. At President Trump’s behest, Texas was the first state to redistrict last year. Let’s look at Houston’s old Ninth District.
2024 districts
The old Ninth District was mostly swallowed by the newly crafted 18th District, and remaining voters were funneled into three Republican-leaning districts and one Democratic one.
2024 districts
District
Margin
9th
Dem. +44.0 D +44.0
18th
Dem. +39.7 D +39.7
7th
Dem. +20.7 D +20.7
29th
Dem. +20.3 D +20.3
38th
Rep. +20.7 R +20.7
New districts
District
Margin
18th
Dem. +54.9 D +54.9
29th
Dem. +30.4 D +30.4
7th
Dem. +23.4 D +23.4
9th
Rep. +19.9 R +19.9
38th
Rep. +21.0 R +21.0
But Houston’s maps also illustrate a second gerrymandering strategy: “packing.” The new 18th District was drawn to be exceptionally Democratic, “packing” a high concentration of Democrats into a single district, thereby ensuring that they would be outnumbered in neighboring districts.
Dallas
As another densely populated city, and one with a large population of people of color, Republicans in Texas sliced some congressional districts in the state, while packing Democrats into others.
2024 districts
The newly drawn 32nd District is a textbook example of “cracking,” splitting apart the eastern and northern suburbs of Dallas and extending the district more than a hundred miles east, into more rural and deeply Republican areas of East Texas. As a result, the new 32nd District is solidly red compared with its previous blue tint.
2024 districts
District
Margin
33rd
Dem. +33.7 D +33.7
32nd
Dem. +23.6 D +23.6
24th
Rep. +15.5 R +15.5
5th
Rep. +27.0 R +27.0
6th
Rep. +28.4 R +28.4
New districts
District
Margin
30th
Dem. +47.0 D +47.0
33rd
Dem. +32.6 D +32.6
24th
Rep. +16.1 R +16.1
32nd
Rep. +17.6 R +17.6
5th
Rep. +21.4 R +21.4
The cracking and packing in Dallas achieved another outcome: drawing current incumbents out of their districts, forcing some into primaries against one another while prompting others to leave the House entirely. In Dallas, Representative Jasmine Crockett chose to run for Senate after being drawn out of the 30th District (She lost in March to James Talarico).
Politics
Byron Donalds cracks down on persistent border blind spot leaving US vulnerable to overstays
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FIRST ON FOX: Florida Republican Rep. Byron Donalds introduced legislation that would require biometric tracking of every entry and exit from the United States, as part of a Republican push to crack down on visa overstays and fraudulent immigration documents.
With illegal crossings down sharply under President Donald Trump’s second term, Republicans are shifting toward the next phase of immigration enforcement — tracking visa overstays and closing documentation loopholes. Donalds’ bill aims to force full nationwide use and federal oversight of the biometric entry-exit system.
Donalds told Fox News Digital exclusively he introduced the legislation on Monday.
“Thanks to President Trump’s decisive actions, our borders are more secure than they have been in decades. We are now moving to finish the job by introducing the Reform Immigration Through Biometrics Act, which provides the oversight needed to ensure every entry and exit is fully verified,” Donalds told Fox News Digital.
FLORIDA SHERIFF SAYS ICE PARTNERSHIP ONLY THE BEGINNING IN ILLEGAL MIGRANT CRACKDOWN
Congressman Byron Donalds is introducing Reform Immigration Through Biometrics Act to tighten immigration enforcement nationwide. (Paul Ratje / AFP via Getty Images)
The bill would close gaps to ensure full coverage at every port, provide system flow updates, and identify what is “slowing” it down by requiring DHS to report to congress. The biometric data system collects fingerprints, facial images, and iris scans.
Immigration reform is a central focus of the second Trump administration, with officials shifting attention toward internal tracking and enforcement gaps, not just border crossings.
The biometric entry-exit system was first introduced a decade ago, following a 2004 recommendation from the 9/11 Commission to strengthen national security through a comprehensive tracking method.
HOUSE GOP BILL COULD TRIGGER SELF-DEPORTATION FOR SOMALI REFUGEES AMID MINNESOTA FRAUD PROBE
Previous administrations failed to fully implement the system across all ports of entry, leaving it incomplete. A final rule issued in December 2025 now mandates a nationwide rollout.
Donalds’ legislation aims to ensure it is fully executed this time by holding DHS accountable.
“The border has been secured, but the work is far from over,” said Donalds in a press release. “Visa overstays and fraudulent documentation remain a large piece of the overall illegal immigration puzzle that needs to be addressed.”
Byron Donalds, a Florida lawmaker and gubernatorial candidate, unveiled legislation cracking down on immigration overstays. (Kevin Dietsch/Getty Images)
Data from the Border Patrol cited by Pew Research found there were 237,538 migrant encounters at the Mexican border in 2025. It is the lowest number since Richard Nixon was president in 1970 when 201,780 were encountered.
I REPRESENT A BORDER DISTRICT THAT WAS SWAMPED BY ILLEGAL IMMIGRATION. WHAT I’M SEEING NOW MIGHT SURPRISE YOU
Migrants wait in line to turn themselves in for processing to US Customs and Border Protection border patrol agents near the Paso del Norte Port of Entry after crossing the US-Mexico border in El Paso, Texas, on May 9, 2023. (Patrick T. Fallon/AFP)
Donalds, candidate for Florida governor to succeed term-limited Gov. Ron DeSantis, said he anticipates “swift passage” of the bill.
CLICK HERE TO DOWNLOAD THE FOX NEWS APP
“Republicans are steadfast in our commitment to the mandate entrusted to us by the American people,” he told Fox News Digital.
Fox News Digital reached out to DHS for comment.
Politics
Former state Controller Betty Yee drops out of the governor’s race
Former state Controller Betty Yee dropped out of the governor’s race on Monday, citing low levels of support from voters and donors.
Yee, a Democrat, was part of a sprawling field of politicians vying to replace termed-out Gov. Gavin Newsom. But despite the bevy of prominent candidates running to lead the nation’s most populous state and the world’s fourth-largest economy, this year’s governor’s race has lacked a clear front-runner well known by the electorate.
“It was becoming clear that the donors were not going to be there. Even some of my former supporters just felt like they needed to move on as well,” Yee said in a virtual news conference Monday morning, adding that her internal polling showed voters did not prioritize “competence and experience … and that’s really been my wheelhouse in terms of how we grounded this campaign.”
The former two-term state controller did not immediately endorse another candidate and said she would take a few days to assess the field before making an announcement.
The race was upended this month when then-Rep. Eric Swalwell, among the leading Democrats in the contest, was accused of sexual assault and other misconduct. The East Bay Area Democrat, who is facing multiple criminal investigations, promptly ended his gubernatorial bid and resigned from Congress.
Yee said the contest would probably go down as “one of the most unusual, unpredictable and unsettling races in modern California history.”
“I certainly could not have imagined the twists and the disturbing turns that this race has taken,” she said. “But through it all, my values and my vision for California has never wavered.”
“Voters are scared right now, and I think they really are placing a lot of prominence on a fighter in chief against this Trump administration,” she said.
Though she was prepared to be a governor that would push back against the Trump administration, Yee said her calm demeanor did not help her grab attention.
“We are living in like a reality TV era, where to get traction, you have to either be the loudest, you have to have gimmicks. You’ve got to do what you’ve got to do to get attention. I got no gimmicks. I have no scandals,” she said before calling herself “Boring Betty.”
Yee, 68, was well regarded by Democrats during her tenure in Sacramento.
But she never had the financial resources to aggressively compete in a state with many of the most expensive media markets in the nation.
Yee reported raising nearly $583,000 in 2025 for her gubernatorial bid, according to campaign fundraising reports filed with the California secretary of state’s office. Yee’s announcement that she is dropping out of the race came days before the latest financial disclosures will be publicly reported.
Despite being elected to the state Board of Equalization twice and as state controller twice, Yee was not widely known by most Californians. She never cracked double digits in gubernatorial polls.
Her name will still appear on the ballot. She was among the candidates who rebuffed state Democratic Party leaders’ request this year to reconsider their viability amid fears that the party could be shut out of the November general election because of the state’s unique primary system. The top two vote-getters in the June primary will move on to the November general election, regardless of party affiliation.
Though California’s electorate is overwhelmingly Democratic, the makeup of the gubernatorial field makes it statistically possible for Republicans to win the top two spots if Democratic voters splinter among their party’s candidates. Yee said fear of that scenario playing out “kind of took over” the gubernatorial race.
“Was it possible? Yes. Was it plausible? No, we’re in California. That was not going to happen,” she said, adding that the top-two primary system “has got to go.”
The daughter of Chinese immigrants, Yee said she was disappointed that other Asian American donors and community members did not show up for her as “robustly” as they had in the past.
“We had the opportunity to make history,” she said. “I’m going to want to do a deep dive about … what was it about my campaign that just did not resonate with them.”
Still, Yee was beloved by Democratic Party activists and previously served as the party’s vice chair.
No Democratic candidate reached the necessary threshold to win the party’s official endorsement at its February convention, but Yee came in second with support from 17% of delegates despite calls for her to drop out of the race.
“Every poll shows that this race is wide open, and I know this party,” she said in an interview at the convention. “Frankly, I’ve been in positions where it’s been a crowded field, and we work hard and candidates emerge.”
Yee became emotional Monday as she thanked her supporters and family, including her husband, siblings and mother. “She’s now 103 years old, and her life and voice and wisdom are my compass,” Yee said.
The gubernatorial primary will take place June 2, though voters will start receiving mail ballots in about two weeks.
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