iPhones can get costlier by up to 40%; Trump's new plan 

Trump Tariffs: Apple's iPhones are mainly made in China and the biggest impact of Trump's tariff has been on China. Now Apple has only two options. The first is that it either bears this cost itself or passes it on to the customers.

Fri, 04 Apr 2025 11:50 AM (IST)
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iPhones can get costlier by up to 40%; Trump's new plan 
iPhones can get costlier by up to 40%; Trump's new plan 

The US President Donald Trump's imposed tariff can result in a tremendous rise in the cost of the iPhone. It has been reported that if Apple transfers this added expense to the consumers, the prices of the iPhones can rise by as much as 30% to 40%. The maximum hit will be taken by America as the majority of the iPhones being sold in America are made in China.

Apple's iPhones are predominantly produced in China and the largest effect of Trump's tariff has been felt by China since the US announced levying 27%, 46%, and 34% tariffs on India, Vietnam, and China. Now Apple has only two choices. The first one is either it can bear this expense itself or it can transfer the same to the consumers.

Currently, the most affordable iPhone 16 model costs $799 (about ₹68,000). If Apple adds the cost of tariffs, its price could increase to around $1,142 (about ₹97,000) i.e. an increase of about 43%. On the other hand, talking about premium models like the iPhone 16 Pro Max, which has a 6.9-inch screen and 1 terabyte of storage, its price could be around $2,300 (about ₹2 lakh).

Trump has imposed this tariff on many products imported from China so that American companies can be encouraged to manufacture outside China. Earlier Apple used to get some special discounts so that the prices did not increase, but this time no discount has been given.

If Apple puts this entire burden on its customers, its sales may decline. iPhone sales are already slow in major markets and now the increase in prices may make customers turn to alternative companies like Samsung. Especially because most of Samsung's phones are made outside China and are less affected by tariffs.

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Muskan Kumawat Journalist & Writer