iPhone XS Max 25% Tarriff Tax on iPhone effective: Dec. 15, 2019.

[ET iPhone Home]

If news media story holds true, using my XS Max 256 at $1249, for example, would now be priced at $1561.25 plus CA state tax would cost me $1682.25...LMAO. Who's buying?

For those upgrading or in need of a new iPhone, get your iPhone 11 prior to Dec. 15th.

 

[ruslan120]

Will Apple adjust the price of a product upwards post-release though?

I find it more likely that they will adjust for the tariff prior to it going into effect, and marginally increase the price for the product’s entire lifespan.

P.S. this sucks. Glad to have sold my AAPL shares yesterday.

 

[JPack]

If we're still getting 64GB base storage this year, that already makes up for some of the tariff.

For 2020, Apple can simply roll any price increases into the 5G models. Customers will still pay.

 

[gadgetfreaky]

If news media story holds true, using my XS Max 256 at $1249, for example, would now be priced at $1561.25 plus CA state tax would cost me $1682.25...LMAO. Who's buying?

For those upgrading or in need of a new iPhone, get your iPhone 11 prior to Dec. 15th.

it's just on the cost of the goods from china. So - say if it costs $350 then they pay another 87.5 in tax.
it's not a tax on the retail price.

 

[ruslan120]

It's a shame that investing in manufacturing products here would be too costly.

Apple uses its off-shore profits to build factories here -> American economy is strengthened, people gain employment, access to healthcare, money to spend, etc. -> Low probability of employees with newfound money buying Apple products -> Apple shares decrease.

AppleCard is a start but what we really need is AppleHealth and AppleHousing to decrease employment costs.

 

[ET iPhone Home]

it's just on the cost of the goods from china. So - say if it costs $350 then they pay another 87.5 in tax.
it's not a tax on the retail price.

Can you clarify? I thought I did the math correctly based on the current iPhone XS Max 256 at $1249. 25% tariff is an additional $312.25. 25% tariff on $350, your example, is indeed $87.50.

 

[LovingTeddy]

Just hope Apple doesn’t increase Canadian Price because of this ******** tariffs.

Canadian price is already up there to begin with.

 

[aenflex]

I think the costs from these tariffs will be passed on to the consumer in some fashion, not just with Apple but all affected by them. However, weren’t the tariffs already 25% and now going up to 30%, or am I misunderstanding it?

 

[fastbagger]

Just hope Apple doesn’t increase Canadian Price because of this ******** tariffs.

Canadian price is already up there to begin with.

Because of Canadian tariffs. Don’t like it huh? Neither does the US.

 

[chscag]

Just hope Apple doesn’t increase Canadian Price because of this ******** tariffs.

Canadian price is already up there to begin with.

Prices will go up regardless of where the iPhone is sold. Apple is a US based Corp but assembly of iPhones is accomplished in China. A tariff increase would cause Apple to have to raise prices wherever their iPhones are sold unless Apple wishes to eat the additional tariff. Why do you think Tim Cook has been dinner dating with the President?

 

[joeblow7777]

If news media story holds true, using my XS Max 256 at $1249, for example, would now be priced at $1561.25 plus CA state tax would cost me $1682.25...LMAO. Who's buying?

For those upgrading or in need of a new iPhone, get your iPhone 11 prior to Dec. 15th.

Nobody knows how the tariffs will affect the price for consumers. It is very unlikely that Apple will simply add 25% to the price of their products. I don't think the economics are quite that simple.

 

[coit2200]

It should be fine.
Apple can assemble the phone in Vietnam to avoid the Tarriffs

 

[JBGoode]

Can you clarify? I thought I did the math correctly based on the current iPhone XS Max 256 at $1249. 25% tariff is an additional $312.25. 25% tariff on $350, your example, is indeed $87.50.

You did the math correctly for 25% of the retail cost of the phone, however the tariff would only be 25% of what Apple pays for the phone. $350 was just his estimate of Apple's cost as an example for you. We don't know what it costs them but we do know it's not $1200+ I don't think this will affect prices too much. We'll see.

 

[44267547]

It should be fine.
Apple can assemble the phone in Vietnam to avoid the Tarriffs

If you weren’t being sarcastic, Foxconn (As an example in China) is major plant that Vietnam wouldn’t be to contribute to that level of manufacturing.

 

[theapplehead]

I imagine that Apple will disperse the tax among its various products rather than solely on the iPhone. For instance, new MBP's will be more pricey as that tax is factored in. I'm glad I already purchased a new MBP. Long live the 2019 model!