A rough estimate, based on industry-standard cost breakdowns and data from 9to5Mac for an iPhone Pro Max 14, suggests that a 10% tariff will elevate the landed cost of an iPhone by approximately $50. Consequently, the retail price would be expected to increase by around $100. So, brace yourself for a $100 hike in iPhone prices.
Interestingly, if the iPhone manufacturing process were instantly transferred to the US, maintaining the same factory equipment and labor requirements, the iPhone’s manufacturing cost would increase by between $80 and $120. Consequently, the iPhone’s price would rise by $160 to $240.
These tariffs, intended to revive manufacturing in the US, especially in the consumer electronics sector, will be ineffective except to increase prices.