Apple’s iPhones could soon see a dramatic price increase due to the latest round of tariffs imposed by former U.S. President Donald Trump. Analysts predict that if Apple passes on the additional costs to consumers, prices could rise by 30% to 40%, making the top-end iPhone 16 Pro Max nearly $2,300.
Most iPhones are manufactured in China, which has now been hit with a 54% tariff. While Apple previously secured exemptions during Trump’s first term, no such relief has been granted this time. As a result, the company faces a difficult choice—either absorb the costs or raise prices.
Apple’s stock fell over 8% following the tariff announcement, marking its worst trading day since 2020. With iPhone sales already slowing, analysts believe Apple may struggle to pass on more than a 10% price increase to customers. Some production has shifted to India and Vietnam, but these countries are also facing levies of 26% and 46%, respectively.
Industry experts warn that higher prices could weaken Apple’s competitive position, benefiting rivals like Samsung, which faces lower tariffs. If Apple raises prices to cover the import duties, the company could take a $40 billion hit. Analysts believe negotiations between Apple, China, and the White House are inevitable, as the impact of these tariffs could be severe for the tech giant.
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