Consumers in the US could soon face an iPhone price increase as new tariffs target Chinese-made electronics. Donald Trump’s trade policy imposes a 125% tariff on Chinese imports, including many tech devices Americans rely on.
Analysts warn that Apple may pass the added cost onto buyers, potentially raising iPhone prices by hundreds of dollars this year. Since China produces 80% of Apple’s iPhones for the US market, these tariffs hit the company especially hard.
Apple recently planned multiple cargo flights from India, shipping over 600 tons of iPhones directly into the US. Industry observers say this move aims to reduce the company’s dependence on China amid intensifying trade tensions.
Trump insists the tariffs will bring more manufacturing jobs to the US, but tech companies argue it’s not that simple. The industry’s complex global supply chains and need for skilled, cost-effective labor make relocating production challenging.
In February, the company pledged a $500 billion investment in the US, a move the Trump administration applauded as a path to domestic manufacturing. However, shifting even 10% of its supply chain from Asia to the US could take years.
Dan Ives from Wedbush Securities estimates the process could require three years and $30 billion, with significant disruptions. While Apple has not officially commented, signs point to higher prices soon.