Apple could increase iPhone prices, but won't blame Trump's tariffs

midian182

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A hot potato: As many predicted, Apple is considering raising the prices of its next generation of iPhones this fall. However, the company is keen to avoid blaming Trump's tariffs for increasing the price points of what are already very expensive handsets.

Since President Trump announced the often-changing tariffs on China, there have been fears that Apple, one of the companies that rely heavily on the nation and others in Asia for manufacturing its products, would be forced to raise prices. Some reports claimed the top-spec iPhone could reach $3,500.

Now, even though the US and China have just agreed a 90-day pause on tariffs and reciprocal duties, The Wall Street Journal reports that Apple is considering hiking the prices of the iPhone 17 lineup set for release in the fall.

The WSJ writes that Apple doesn't want to be seen as blaming any tariffs for the price increases – under the current agreement, a 20% tariff that covers smartphones will still be in place when they launch. Instead, the company wants to frame the higher prices as a necessity for all the new and improved features that the next iPhones will sport.

Currently, the iPhone 16E starts at $599, the iPhone 16 is $799 and the iPhone 16 Pro is $999 – those are the base model prices.

Last month, Amazon was blasted by the White House over reports that it was considering showing exactly how much the Trump tariffs will increase the cost of items on its Amazon Haul site. Press Secretary Karoline Leavitt called the move "a hostile and political act," and President Trump rang Amazon founder Jeff Bezos to discuss the matter. Amazon quickly announced that it wasn't following through with the plan. Perhaps Apple has learned the danger of trying to blame tariffs for rising product prices?

In the final week of March, just ahead of the initial 10% tariff, Apple transported five planeloads of iPhones and other products from India and China to the US over a three-day span. It's also been reported that Cupertino is rushing to shift iPhone production for the US to India for 2026.

Trump previously said the ultimate goal of the high tariffs was to bring manufacturing back to the US. But for Apple, which uses 187 suppliers in 28 countries for the device's 2,700+ parts, a US-made iPhone will likely remain a dream.

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Worth over $3 trillion, but needs more of your money for the phones it cant build in the US, but it CAN build in india.

Make it make sense.
 
Apart from the high costs of moving whole supply chains to the US, training 1000's of new staff, paying the increased wages that US workers demand over Chinese workers and getting consumers to pay for all those increased costs. What's stopping international businesses like Apple from moving wholesale to America? Do they just not trust the current autocracy?
 
Its not surprising companies don't want to list a line item for tariffs.

It's better to obfuscate the increase in price from the end user so when/if tariffs end the cost of the product doesn't have to drop much/at all and the company can just pocket the extra money. Similarly if a product becomes significantly more expensive outside of what you'd expect from tariffs, just vague gesture at "trade uncertainties" and pocket the extra change.

By making it a line item, the company would be putting itself on the hook to actually lower/increase prices in accordance with the tariffs.

Greedflation ain't just a liberal talking point.
 
It's better to obfuscate the increase in price from the end user so when/if tariffs end the cost of the product doesn't have to drop much/at all and the company can just pocket the extra money. Similarly if a product becomes significantly more expensive outside of what you'd expect from tariffs, just vague gesture at "trade uncertainties" and pocket the extra change.
At the end of the day, if you guys want to pay 145% extra for whatever comes out of China, then that's up to you. I'd be asking why Trump didn't want customers to see what they would now be paying in tariffs.
 
Meanwhile in the real world outside the echo chamber China and USA come to some agreement and pause Tarrifs hikes for 90 days.
Dow surges more than 800 points after China and U.S. agree to temporary tariff cuts: Live updates

Source: CNBC
https://search.app/pxC3x

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Trump loves to create chaos and uncertainties. I can stop wondering who really benefits from all of this drama cause I don't see American people do. Btw, with or without the "tariffs", Apple will increase their prices anw.
 
"We're going to take in hundreds of billions of dollars in tariffs and we're going to become so rich you're not going to know where to spend all that"

shocking that the orange clown was talking about just rich people when he said "we're going to be become so rich", everyone else can get get screwed as usual
 
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