• Home
  • Money
  • Will iPhone Prices Increase due to Apple’s Tax Blow?
Money

Will iPhone Prices Increase due to Apple’s Tax Blow?

2 Mins Read

The United States’ customs duties have put technology giant Apple in a difficult position. The company, which manufactures a significant portion of its products in China, is facing a significant increase in costs. Experts have warned that prices of many products, especially the iPhone, may increase.

President Donald Trump’s trade tariffs have dealt a blow to companies producing goods overseas. One of the companies most affected by the upheaval of customs duties is Apple. Analysts have indicated that if the costs resulting from customs duties are reflected in the products, the price of the iPhone may increase by 30 to 40 percent. It is still unknown whether Apple will pass on its costs to customers. The company manufactures a large part of the iPhone in China. Trump imposed an additional 34% customs duty on China. China, in return, announced that it would apply the same percentage of taxes on US products. Apple’s shares fell by 13% to $188.4 last week.

HOW MUCH WILL THE iPHONE COST? The company, which sells more than 220 million iPhones annually, has its largest markets in the US, China, and Europe. In the US, the base price of the iPhone 16 is $799. Experts have said that if Apple reflects its costs, the product price could rise to over $1,142. The price of the iPhone 16 Pro Max could increase from $1,599 to $2,300. The price of the iPhone E model, currently sold for $599, is estimated to rise to $856.

A $40 BILLION COST The question of whether any exemption will be granted to Apple is also under speculation. Experts believe that the possibility of an exemption, as in previous years, is low due to the tough stance of the Trump administration. The cost of customs duties on Apple is estimated to reach $40 billion. WILL PRICES INCREASE IN TURKEY? Apple raised prices of iPhones and many products in Turkey last week.

With price increases, the cheapest iPhone model reached 49,999 Turkish Lira, while the most expensive model reached 109,999 Turkish Lira. It is still unknown whether there will be a price increase on Apple products in Turkey following Trump’s tariff announcement.

However, possible price movements in the US directly affect the company’s products worldwide.

Comments are closed

Related News