An Apple iPhone price hike appears likely as the U.S. enforces fresh import tariffs under the Trump administration’s “Liberation Day” initiative, prompting the tech giant to explore ways to minimize the impact on consumers.
China, where most iPhones are assembled, now faces a combined 54% tariff. India is hit with a 26% levy, and products from Vietnam are subject to a 46% import fee when entering the U.S. These tariffs, effective April 9, have forced OEMs like Apple to strategize around inevitable cost increases.
According to Bloomberg’s Mark Gurman, Apple has been stockpiling iPhones, Macs, and other devices within the U.S. for months to delay the impact of the Apple iPhone price hike. Since the new tariffs don’t apply to items already in the country, Apple might avoid raising prices until the iPhone 17’s anticipated release in September.
In a bid to cushion the blow, Apple is reportedly willing to absorb a portion of the cost by tightening its hardware profit margins, which typically sit around 45%. The company is also renegotiating supply chain and manufacturing contracts to lower component and assembly expenses.
To further offset the impact of the tariffs, Apple is broadening its global manufacturing network, with Brazil emerging as a potential production hub.
Apple hasn’t raised the base price of its flagship iPhone in the U.S. since the iPhone X launch in 2017 at $999. But unless geopolitical tensions ease, consumers should brace for a noticeable markup on upcoming models.
