During Wednesday’s earnings call, Apple CEO Tim Cook went into the most detail yet on how the company is responding to the far-reaching US tariffs imposed by President Trump — and the potential impacts on its business. “Assuming the current global tariff rates, policies and applications do not change for the balance of the quarter and no new tariffs are added, we estimate the impact to add $900 million to our costs,” Cook said. “This estimate should not be used to make projections for future quarters, as there are certain unique factors that benefit the June quarter,” he clarified.

Tariffs could add $900 million to Apple’s costs this quarter, Apple CEO Tim Cook said on Thursday, as he revealed the tech giant was shifting production of iPhones sold in the United States from China to India. “Assuming the current global tariff rates, policies, and applications do not change for the balance of the quarter and no new tariffs are added, we estimate the impact to add $900 million to our costs,” he told a quarterly earnings call.

Cook gave the assessment on an earnings call. "For the June quarter, currently we are not able to precisely estimate the impact of tariffs, as we are uncertain of potential future actions prior to the end of the quarter," Cook said on the call. "However, for some color, assuming the current global tariff rates, policies, and applications do not change for the balance of the quarter and no new tariffs are added, we estimate the impact to add $900 million to our costs." Apple took in $95.4 billion in revenue in Q1. Sales of iPhones were $46.84 billion, compared with estimates of $46.17 billion. Cook said Apple is sourcing half of the iPhones sold in the U.S. from India, with most of its other products sold domestically coming from Vietnam. "For the June quarter, we do expect the majority of iPhones sold in the U.S. will have India as their country of origin," Cook said. "China would continue to be the country of origin for the vast majority of total product sales outside the U.S." He added that the company is buying 19 billion chips from the U.S. this year. "With an iPhone, you really have to go a step lower and look at the individual parts and where they come from," he told CNBC. Trump earlier this month partially exempted electronics, such as smartphones and computers, from the reciprocal tariffs on China.