iPhones Could Cost Up to $2,300 in the U.S. Due to Tariffs, Analyst Says

[G5isAlive]

You made a mistake in thinking that Apple isn't interested in preserving their margins. It will cost Apple more for each product they sell. Sure, they could eat the cost or simply pass it along without additional charge. But, either way, that would hit their margins and their stock price hard.

Agreed. Companies in the US can react to the higher costs due to tariffs by 1) pass it on to the customer which will result in fewer sales, 2) decrease the margins which will result in less profit, 3) eat up savings (if they have them), or squeeze the suppliers. Apple will follow some combination of above. But the thing they all have in common is less money for Apple. A public company's response to less profit, is to decrease costs. The first to go is often research, so the 'apple doesn't innovate will have more to complain about. Other things to cut are quality (check out Disney), and employees. Americans are going to lose jobs in the short term. Will there be a gain long term? Sure the country bounced back from the Great Recession, only took 25 years. Alas I and Donald will died hopefully by natural causes by then.

Folks, we can nit pic on specifics, but there is no doubt the landscape is shifting under our feet and not in a good way.

 

[jntdroid]

Of course the price of eggs has the least to do with who is president. Neither Biden nor Trump caused, nor remedied the bird flu.

Agreed, and I alluded to that point in my previous comment as well.

 

[vantelimus]

This is what will limit Apple‘s ability from passing on U.S. tariffs to consumers in other markets:

Foreign media will be more alert than ever to catch and report on U.S. big tech companies increasing the price differential between the U.S. and their country (net of local taxes and tariffs).

It wouldn't be a smart move for Apple to increase prices elsewhere to keep prices down in the US. I'm suspecting iPhone sales will be brisk in Canada along the border. Trump is setting up attractive grey market conditions.

 

[G5isAlive]

You're moving the goalposts now. In your first comment (here) you said nothing about the day 1 promise, which I agree is absurd and a promise he couldn't fulfill. But that's not what you said originally, so I was simply replying to what you first stated, and now you're bringing up the day 1 promise.

When Trump took office, eggs were at 6.5657 (1/20/2025). They hit their high of 8.0808 on 2/24/2025 (34 days, not two months). Now they're at 3.2593. That's a 43% drop from when he took office.

Before he took office, eggs had already surpassed their 5 year high.

The day 1 promise was absurd and Trump does often write checks with his mouth that he can't cash. At a bare minimum we agree on that!

You keep bringing in what you think are new facts. I respond. thats not moving the goal posts. But honestly this discussion on eggs is boring is just a distraction. The real goal posts is what is going to happen to the American landscape, and it's not pretty.

Feel free to keep talking about eggs.

 

[Poncho]

Because Norfolk Island would be used for arbitrage to evade the tariffs. When you actually put a couple of brain cells into thinking instead of consuming rage content and acting on emotion, you don't need explainers as to why things are done.

The real reason this was done was due to an error on the part of the US customs over bills of landing that erroneously listed footwear and aquarium parts as coming from Norfolk Island in Australia when in fact they came from companies based in Norfolk in the UK. Source: https://www.theguardian.com/australia-news/2025/apr/04/revealed-how-trump-tariffs-slugged-norfolk-island-and-uninhabited-heard-and-mcdonald-islands#:~:text=In some cases involving Norfolk,company's registered address in New

 

[jntdroid]

You keep bringing in what you think are new facts. I respond. thats not moving the goal posts. But honestly this discussion on eggs is boring is just a distraction. The real goal posts is what is going to happen to the American landscape, and it's not pretty.

Feel free to keep talking about eggs.

I mean, I responded to your egg numbers which were wrong, you responded with a new idea about the day 1 promise, which I actually agree with. I wasn't talking about eggs originally.

Agree this is a moot point now and will move on... have a nice weekend!

 

[Poncho]

Ah, so that explains why he put tariffs on an uninhabited island covered in Penguins with no infrastructure. The Penguins may start a cross-shipping empire.

The real reason this was done was due to an error on the part of the US customs over bills of landing that erroneously listed footwear and aquarium parts as coming from Norfolk Island in Australia when in fact they came from companies based in Norfolk in the UK. Source: https://www.theguardian.com/australia-news/2025/apr/04/revealed-how-trump-tariffs-slugged-norfolk-island-and-uninhabited-heard-and-mcdonald-islands#:~:text=In some cases involving Norfolk,company's registered address in New

 

[Willis]

As a Brit and reading these comments, i can’t help but wonder how and why the American voters opted for this. Absolute madness.

 

[switz]

The new iPhone price will be a spot market where what one pays is negotiated then and there as no fixed pricing is available. The seller will have several models to choose from inside his coat.

 

[Reason077]

the top-of-the-line iPhone 16 Pro Max model with 1TB of storage could rise from $1,599 to nearly $2,300 in the U.S., should Apple actually follow through with raising prices by 43% to offset the cost of tariffs.

That’s not exactly how it works. Tariffs are charged on the wholesale price of a product when it is imported, not the retail price to the end user.

Apple, presumably, structures things so it pays itself (or its contract manufacturers) a much smaller wholesale price for imported iPhones that represents the cost of parts and assembly in China. The rest of the retail price of the phone represents retail margin, brand value, software and R&D work done in the US, etc, all of which would not be subject to the tariff.

So while prices will undoubtably rise due to tariffs, the increase should be a lot less than 54% or 43%.

 

[vantelimus]

As a Brit and reading these comments, i can’t help but wonder how and why the American voters opted for this. Absolute madness.

Tell us about Brexit.

 

[Xano]

This means in Europe a Pro Max will cost around $2600 USD ...
iPhones sales are declining in Europe, delays in Apple Intelligence and Siri updates sink the sales, this prices will be end!

 

[AppliedMicro]

This means in Europe a Pro Max will cost around $2600 USD ...

EU doesn‘t have the same tariffs on Chinese-manufactured goods.

 

[JohnC1959]

It's not easy to setup a situation where you have high inflation and rising unemployment but I think we found the way.

 

[dwsolberg]

A tariff is paid on the declared value of the goods, NOT the final retail price. In other words, it's Apple's cost of goods, not the final retail cost to the consumer. As a made-up example, if Apple pays a wholesale cost of $600 for a $1600 iPhone, the tariff is 43% of that $600, NOT the $1600. In that case, the tariff is $258 NOT $688.

 

[Pezimak]

Oh my god, what are we going to do without Nintendo switches. Priorities are out of whack with some of you.

It’s called ‘an example’ which clearly went right over your head.

 

[stevet]

Tariffs don't come from greed or socialism (that's what FOX NEWS preaches), it's far more complicated and you would most likely have to spend hours and days at university to understand it.

You have probably not been able to do this so far. But you are not alone in this.

Explain why China applies tariffs our vehicles at such a high rate, a rate that forces companies like Tesla to build factories and hire Chinese employees?
Or the fact that our truck drivers can’t cross the border to deliver goods, they have to drop them at the border so a Canadian trucker can do that, at the cost of the exporter. And then in turn, Canadian truckers are allowed to not only drop off imported goods to the US but can also do other runs while across the border. Sounds pretty fair to you I bet.
The fact you think people need a degree to understand economics is part of the problem. I suspect you won’t be able to answer the question but I get that, most people that watch cnn can’t either.

 

[mdatwood]

Tell us about Brexit.

The Brits must feel pretty smug right now. Until Trump was reelected, Brexit was the biggest self-own in statehood history.

 

[stevet]

It’s called ‘an example’ which clearly went right over your head.

Definitely didn’t go over my head. Using that as the example shows where your head was at.

 

[jooish]

Lol rage bait.

This isn't going to happen, but y'all love an opportunity to engage in Trump hatred. It's borderline criminal how much "journalist" have been exploiting the fear of folks for views & clicks. Good for them I guess because it clearly works.

The same bozos that believe this, also believed eggs prices were Trump's fault...

 

[Morgenland]

I guess there are always people who back fear mongers in order to feel empowered and protected and not have to face fear. Probably about half of the human race may work that way.

I am curious to see how these people change when they look up from the US egg price to the US iPhone price, look in vain for their promised improved job situation, suffer the melting stock portfolio and wake up to a possibly weak US. Hopefully, it won't be China or Europe or some fairy-tale figure who will be found responsible then.

Let's just wait and see.

 

[vantelimus]

This means in Europe a Pro Max will cost around $2600 USD ...
iPhones sales are declining in Europe, delays in Apple Intelligence and Siri updates sink the sales, this prices will be end!

Prices do not have to go up in Europe. Apple does not ship phones destined for the European market from China to the US then over to the EU. It would make no sense to pay increased shipping costs and now a tariff. Of course, EU countries would love the addition to their VAT. The EU doesn't need high tariffs when the VAT scam is an automatic tax on any imported good.

 

[cutlub]

iHope.

 

[PBG4 Dude]

The last U.S. manufactured phone with 100% U.S. manufactured "circuitry" and components was probably this....
View attachment 2499134

When I was 12, I worked a summer job at my junior high school polishing the ringer bells for these phones for 4¢ apiece.

People today just don’t understand the satisfaction of slamming one of these handsets into the cradle when hanging up on someone you’re pissed at.

 

[verdi1987]

I know you’re trying to be smart but egg prices have actually dropped $2/dozen

Where? I’m in California. These are the cheapest carton of a dozen from a few locations:

Walmart: $6.34
Ralphs (Kroger): $6.79
Target: $7.59