According to Bloomberg, the new tariffs are causing a frenzy in Apple stores, with customers trying to get an iPhone before potential price hikes. “Almost every customer asked me if prices were going to go up soon,” said one Apple employee in an interview.
Eyewitnesses compare the rush to Apple stores to Black Friday or the launch of a new iPhone model, with iPhone sales spiking on April 5 and 6 compared to regular sale days and also the same period last year.
Apple’s four-part plan
Trump’s tariffs have sent the stock market in panic mode
Apple has been working on a plan to offset any potential issues ever since the tariffs were announced. It’s a special four-part strategy that aims to battle potential supply chain issues and price hikes and even move part of the production to countries that are not affected by the tariffs.The company has been stockpiling iPhones in the past couple of weeks, as reported by The Times of India, which mentioned five planes filled with iPhones and other devices being shipped from India to the U.S. during the final week of March.According to the Wall Street Journal, Apple plans to also increase the import of iPhones from India, as the tariff impact will be lower than importing from China (26% versus 54%).
- India (iPhones, AirPods): 26%
- Vietnam (iPads, Macs, Watches, AirPods): 46%
- Malaysia (Macs): 24%
- Thailand (Macs): 37%
- Ireland (iMacs): 20%
- Indonesia (AirTags, AirPods Max parts): 32%
- China (across all devices): 54%
Despite the significant impact of the new tariffs on the technology industry, Apple is unlikely to move production to the US, which was supposed to be the goal of the tariffs in the first place.
The news has shaken the stock market, leading to a significant drop in the benchmark S&P 500 and Dow Jones Industrial Average indexes. Apple stocks have been hit particularly hard, with a 20% drop since last Wednesday.
Should you buy a new iPhone right now?
The iPhone 16 series supply reserves should last a couple of months | Image by PhoneArena
That’s the million-dollar question right now. We don’t think the panic is justified, and given Apple’s strategy in place, we shouldn’t get any shortages or immediate price hikes. The iPhone 16 series is probably safe and won’t be affected, as the supply reserve should last at least a couple of months.Things look more complicated with the upcoming iPhone 17 series. With the new iPhone 17 Air launching this year, the stakes are high on the success of this new model. People are also excited about the iPhone 17 Pro, as we might see the biggest design change in the past 5 years, so a potential price hike might deal significant aggravated damage to Apple.
We’ll continue to monitor the situation and report updates after tariffs go into effect tomorrow.
