iPhone Prices to Jump High After Trump Confirms New Tariffs

The cost of the newest iPhone model could go up sharply because of new tariffs announced by President Donald Trump. Experts warn that customers may soon face very high price increases.

Wayne Lam, an analyst at TechInsights, says that the cost to make an iPhone could increase from $580 to $850 because of a 54% tax on products brought in from China.

Apple makes iPhones in China, so the company might pass these extra costs on to customers. Dan Ives, an analyst at Wedbush Securities, expects that the price of a 256GB iPhone 16 Pro could increase from $1,100 to as high as $3,500.

Trump’s new tariffs are part of his plan to push companies to make products in the U.S. by making foreign products more expensive. But experts believe Apple would still need to import materials to make iPhones, which means making them in the U.S. might not be affordable.

Barton Crockett, a senior analyst, says moving production to America would be very difficult and expensive.

The tariffs may raise iPhone prices by 30% to 43%. This means the basic iPhone 16 might cost about $1,142, while the top model, the iPhone 16 Pro Max, could go up to $2,300.

At the moment, it costs about $30 to assemble an iPhone in China, but if Apple moved production to the U.S., this cost could increase by ten times.

Apple hasn’t commented on any possible price increases due to the tariffs. Beginning April 6, a 10% tariff will be imposed on all goods imported into the U.S., affecting over 90 countries, including China.

In response, Chinese President Xi Jinping has said China will apply a 34% tariff on all U.S. imports starting April 10. This back-and-forth between the two countries is seen as an escalation, with both sides raising tariffs in a trade dispute that shows no signs of ending.

Craig Singleton, a senior fellow at a defense foundation, says that while these new tariffs aren’t a full trade war yet, they do show that China is responding strongly to pressure from Trump.

The effects of these tariffs could make technology products more expensive for consumers, and there may be no easy solution to the problem.