
Tariffs may soon increase the price of iPhone, but there are other reasons.
Any person interested in buying a new iPhone can want to consider acting as soon as possible. On Friday, President Donald Trump wrote on social media that Apple would need to pay 25% tariffs on iPhones outside the US, a step that would definitely lead to almost high prices.
Trump said, “I had informed Apple's Tim Cook long ago that I hope his iPhone would be sold in the United States and built in the United States, not in India, or at any place.
Trump did not clarify whether this tariff would be in addition to the current tariff that the company is paying imports from China, India and other countries, nor did they provide a time limit to implement this tariff.
This is the latest in the trade war behind the Trump administration. Earlier in May, the US and China agreed to a 90-day break on most of their tight-for-tat tariffs. A few days later, Trump called the apple for US iPhones to produce India in India, which is currently his temporary tariff stagnation in July before facing 26% tariff (except baseline tariffs). Perhaps.
Experts say the price increase for iPhone is likely to be in the way, whether what happens with tariffs.
CNET's managing editor Patrick Holland said, “The iPhone is due to an increase in a price, which have been reviewing the phone for CNET since 2016.” The entry-level iPhone is $ 829 and is priced at years. The last time it was priced. [hike] Was in 2020. ,
I recently nervous to a new iPhone 16 Pro soon after President Donald Trump announced his “Liberation Day” tariff, but before he added most of Apple products to the discount list. While I have no regrets, I also ensured that I could fit shopping comfortably in my budget.
I am happy that when I did I acted, but that does not mean that you should run to the Apple Store. If you are considering buying a new iPhone, here you need to know about the current situation of the tariff and how they can affect prices in the coming months. You can also see our tracking on the real world effects of tariffs on popular technical products with our tariff pricing tracker.
Read more: iPhone 17 Pro rumors and leaks: What have we learned here so far
How much can tariffs increase iPhone prices? We do mathematics
Companies do not always pass full tariffs on customers as high prices, but they can. If the Apple decides to increase the tariff by increasing the price, you can see the significant price jump.
Currently, iPhones manufactured in China are subject to 30% tariffs, including 10% baseline plus 20% “Fentaneel Tariff” for the country's alleged role, which allows Phentineile to enter the US. India and other countries have 10% tariffs. Here is described how the current tariffs and potential 25% apple tariffs can affect the price of iPhone:
What can be the cost of iPhone in China after tariff?
iPhone model | prevailing rate | Cost cost projection with current 30% tariff rate | Cost projection with additional 25% tariff |
---|---|---|---|
iPhone 15 (128GB) | $ 699 | $ 909 | $ 1,136 |
iPhone 15 Plus (128GB) | $ 799 | $ 1,039 | $ 1,299 |
iPhone 16E (128GB) | $ 599 | $ 779 | $ 974 |
iPhone 16 (128GB) | $ 799 | $ 1,039 | $ 1,299 |
iPhone 16 Plus (128GB) | $ 899 | $ 1,169 | $ 1,461 |
iPhone 16 Pro (128GB) | $ 999 | $ 1,299 | $ 1,624 |
iPhone 16 Pro Max (256GB) | $ 1,199 | $ 1,559 | $ 1,949 |
iPhone 16 Pro Max (1TB) | $ 1,599 | $ 2,079 | $ 2,599 |
What can be the cost of iPhone in India after tariff?
iPhone model | prevailing rate | Cost cost projection with current 10% tariff rate | Cost projection with additional 25% tariff |
---|---|---|---|
iPhone 15 (128GB) | $ 699 | $ 769 | $ 961 |
iPhone 15 Plus (128GB) | $ 799 | $ 879 | $ 1,099 |
iPhone 16E (128GB) | $ 599 | $ 659 | $ 824 |
iPhone 16 (128GB) | $ 799 | $ 879 | $ 1,099 |
iPhone 16 Plus (128GB) | $ 899 | $ 989 | $ 1,236 |
iPhone 16 Pro (128GB) | $ 999 | $ 1,099 | $ 1,374 |
iPhone 16 Pro Max (256GB) | $ 1,199 | $ 1,319 | $ 1,649 |
iPhone 16 Pro Max (1TB) | $ 1,599 | $ 1,759 | $ 2,199 |
There is a lot that goes to the price of an iPhone than just where it is assembled. Apple components from a long list of countries for their products, which can withstand high tariffs after break. And a tariff on goods is not necessarily increased by the same amount. If companies want to remain competitive, they can absorb certain costs to keep their prices low.
“This will not be as high as 1 -to -1 in case of increasing tariffs,” Reeth said. “Mathematics is not as clear on tariff as on tariff.”
Apple did not respond to a request of comment for the old version of this story.
Can we see an increase in iPhone prices?
It is not clear when prices may rise, but if companies sell out of the equipment produced before tariff, they may have to increase prices on products in tariffed shipments.
However, even though Apple cannot completely escape the tariff, it has ways to offset the impact through its services – including its music, news and data plans – supply chain experts according to Joe Hoodika.
“Apple will possibly absorb some tariff costs to keep stickers' prices stable, then comfortably pass through consumers through service bundles, devices longevity and advancement of ecosystem,” he said. “Consumers will still pay, not just once.”
And regardless of how Tariff plays plays the play, Wall Street Journal reports that Apple plans to increase iPhone prices later this year. So expectations hope to go up soon.
Is it better to buy iPhone and other technology now?
If you have already planned to buy a new iPhone, gaming console, Macbook or other technology, then you can now save money by buying it. But if you do not need a new phone immediately, Holland advises to wait.
“If iPhone prices rise, know that, like cars, the prices of iphones used will also increase,” he said. “If Apple increases its prices, you will be more for your old iPhone when you trade it, and offset any increased prices from it.”
If you do not have cash on hand and are considering using a credit card or buying now, pay the plan later to avoid tariffs, make sure you have the money to cover the costs before earning interest. Currently more than 20%with the average interest rates of the credit card, the cost of financing a large purchase can quickly eradicate any savings you get before increasing the prices due to tariffs.
“If you fund this expense on a credit card and cannot pay it completely in one to two months, you will probably end the way to pay more than a tariff,” said Alana Fingle, an accountant, an accountant, orgenized money and a CNET Money Expert Revil Board member Alana Fingle. “I would advise that you stop at any big purchase until the economy is more stable.”
One way to save apple products, even if prices rise, is to buy last year's model instead of the latest release or one used one. And a used business or selling costs can help to offset the cost even more.
Hudika said, “Apple has bowed down with her certified refurbished program, like a car model used by the auto industry,” said Hudika. “This program helps expand the lifetime of equipment to keep customers in the Apple ecosystem when distributing the cost effect over time.”
Look at this: Buy or wait guide: how to change technical prices and what to do next
What's the latest on tariff?
On 23 May, Trump threatened Apple with a minimum 25% tariff on all iPhones built outside the US, putting pressure on the tech veteran to ramping the US manufacturing. It is not clear that it will be in addition to the new tariff declared on liberation day.
On liberation day, Trump announced a 10% baseline tariff on all imports on imports of more than 180 countries. He quickly announced a 90-day stagnation on mutual tariffs, but left the baseline levy in place.
Trump's long -time tolid tariffs also increase revenue for business deficit and to offset tax cuts, although many economists say tariffs can cause high prices and hurt the American economy. Stock prices collapsed after Trump's announcement as the markets responded poorly to widespread tariffs.
Trump has taken a particularly tough stance on China, which was already subject to tariffs which Trump ordered during his first term in the office. He started with a 20% tariff in February, then in April announced 34% tariff on goods from China. He added an additional 50% tariff before finally landing on 145% tariff against China. After each of Trump's announcements, China has responded to its own tariff. They agreed for a deal this week to drop their mutual tariffs up to 115 per cent for 90 days.
US customs and border security exempted some major consumer electronics from mutual tariffs, but Trump said that those products would still be subject to 20% of the fantaneel tariffs. White House officials said recurrence from additional tariffs was temporary and that would be subject to “semiconductor tariff” instead of those products.
Before Trump announced the tariff, Apple's biggest suppliers in India sent an $ 2 billion iPhone in March as per customs records. Allegedly, Apple can source its iPhones from India to the US market by the end of 2026 – although perhaps not all of them. And Trump recently said that he pushed Apple CEO Tim Cook to transfer iPhone production from India to America.
But the cost of producing in the US can be at least, at least now, prohibitively high due to labor costs and logistics.
Tariffs, in theory, are designed to economically influence other countries because their goods are being taxed. Payment of tariffs is going to import products by the US company, and this upworked is usually not always – consumer is passed as high prices.