We can almost be sure that Apple will increase the prices of the iPhone 17 this fall. A report from The Wall Street Journal states that Apple is considering price increases for the approaching iPhone series. Possibly Trump’s import duties play an important role in this.
Earlier Tim Cook indicated that Trump’s import duties will cost the company $ 900 million. Although Apple will not admit that the price increase will have to do with this, they are considering raising the price of the iPhone.
Import duties on iPhone
Trump’s import duties have caused a lot of trouble and especially the American consumer is the victim of that. The import duties are extra taxes on foreign products, such as cars and steel, intended to protect the US economy and to favor American companies by making foreign products more expensive.
However, it also affects American products that are produced abroad. Trump’s import duties on smartphones are the subject of conflicting messages: Initially, the government announced that smartphones, computers and other electronics would be exempt from the heavy import duties, so that these products would remain affordable for American consumers.
However, according to Recent statements from Trump Smartphones from China remain subject to a sector rate of 20 percent, and a general import rate of 145 percent even applies to Chinese products, which means that the costs of smartphones from China can rise considerably.
Production in India
For the time being, Apple is trying to make as many iPhones as possible for the American market in India. They have already increased production, but that is not enough to meet the big demand in the introduction of the new iPhone 17 series.
Apple increases prices of iPhone 17
Earlier Tim Cook indicated that Trump’s import duties will cost the company $ 900 million. The Wall Street Journal shares a report It states that the Apple is considering the approaching iPhone series. Apple will not report that the price increase is due to the import duties and it will be more likely to link to new functions and design adjustments.
The report can be read that Apple will find it difficult to compensate for the extra costs that the import duties entail by saving from their suppliers. This means that the profit margin will probably fall unless the company can increase prices. For the time being it is not yet clear how expensive the new iPhone will be and whether it will rise in price in all countries.
A price increase in the United States is plausible, the dollar price of the iPhone has remained unchanged for the past five years, except for the Pro Max model. Since with the introduction of the iPhone 15 Pro Max, this has been increased by $ 100 for the first time. Outside the US, the price has been adjusted several times.