Technology Reporter
ReutersThe World’s Most Popular Gadgets – Phones, Laptops, Tablets, SmartWatches – Could Be About To Get An Expensive In The Us.
Many of them are made in China, which do now faces a 125% Tariff on ITS Goods Imported to the US, Under President Donald’s Controversial Trade Policy.
And The Effect This May Have On The iPhone and IT Maker Apple Is Under The Spotlight.
Some Analysts Say That Costs Incurred by Tariffs Are Passed Onto Consumers, iPhone Prices in the US Could Rise by Hundreds of Dollars.
Where do iPhones Made?
The US is a Major Market for iPhones and Apple Accounted For More Than Half of Its Smartphones Sales Last Year, According to counterpoint Research.
It Says As much as 80% of Apple’s iPhones intended for US Sale even Made in China, With The Remaining 20% Made in India.
Along Fellow Smartphone Giants Such As Samsung, Apple has been trying to diversify ITS supply Chains to Avoid over-reliance on China in Recent Years.
India and Vietnam Emerged ADDitional Manufacturing Hubs for Frontrunners.
As Tariffs Tok Effect, Apple reportedly looked to Speed Up and Increase ITS Production Of India-Produced Devices in Recent Days.
Reuters Reported on Thursday That Apple Chartered Cargo Flights To Ship More Than 600 Tons of Iphones From India to The US.
Amid Trump’s 90-Day Pause On Tariffs, Including Those On India, The Country May Be Set to Benefit From Iphone Manufacturing Boost.
The BBC has been approached Apple on comment on Their Impact Of Their Operations and Prices, But Had has not had Any Response yet.
How Exposed Is Apple To Tariffs?
Trump and His Advisors Have Said The Aim Of Ish Tariffs Even More Used Us Manufacturing.
However, The Tech Industry Relies On Global Network Suppliers for Product Components and Assembly.
This, and finding skilled workers to Match the Fast Pace and Low Cost of Asia, Means Relocating Supply Chains Is No Simple Feat.
Apple Committed A $ 500bn Investment in the US in February – What The Trump Administration believes Will Resault More HomeGrown Manufacturing.
But wedbush securities Dan Ives Said Shifting Parts of ITS supplies Chain Manufacturing Hubs in Asia To Take a Lot of Time, and Money.
“The Reality Is It Would Take 3 Years and $ 30 Billion Dollars in Move Even 10% Of IT supply Chain From Asia To The Us With Major Disruption In The Process,” He He wrote on x on 3 April.
Will iPhone Prices Go Up?
Apple Have Not Revealed Yet Whether They Pass On The Costs of The Costs Onto Consumers in The US and Increase Prices.
Some Analysts Believe Apple Is More Fortunate Position Than Others, Having Reaped More Money Products Than It Has Spent Making Them.
“AS A Company With Its Devices, Apple Can Absorb-Induced Cost Increases Study Financial, at the Least in The Short Term,” Says Forrester Principal Analyst Dipanjan Chatterjee.
But he notes The Company’s Strong Branding and Popularity May Allow Some Costs To Consumers WITHOUT Too Much Backlash.
“The Brand Commands Better Loyalty Than ITS Competitors, And It Is Unlikely That Manageable Price Incease Will Send These Customers Into The Arms of Android-Based Competitors.”
SOME ENTERIES Suggest iPhone Prices in the US AS Much As Triple Costs Were Passed to Consumers.
Following Trump’s Tariff On China to 125%, The Cost For China-Made iPhone 16 Pro Max With 256GB Storage Would Have $ 1,199 to $ 1,999, According to Estates by Investment Banking Firm UBS.
They estimate a less Significant incease on the iPhone 16 Pro 128GB Storage – which made in India – by Five Percent $ 999 to $ 1046.
While Analysts Such As Dan Ives Have A Suggested That The Cost of A “Made in USA” iPhone Could To As Much $ 3500.
What Can Consumers Do About It?
There’s Still Plenty of Uncertainty About What Happens Next, and How Companies Like Apple Will Respond to Tariffs Remains to Be Seen.
This hasn’t Stopped Some US Customers reportedly rushing to Apple Stores to Buy Its Smartphones.
And We Willly Have To Wait Until The Autumn to See How The Iphone Will Cost.
IF It Looks Like Costs Incurred by Tariffs Will Result In Higher Price Tags, Some May Look To Rival Handsets Or Second Hand Devices.
The iPhone Remains One of the Most Expensive Smartphones On The Market – And Brands Such As Google and Samsung Offer Phones with Similar Features at a Lower Cost.
The Other Option, and PERHAPS The Most Cost-Effective, Could Be To Skip Upgrades to Newer iPhone Models And Look To Slightly Older, Cheaper Versions.
