President Donald Trump took intention at Apple just lately, threatening it with a 25% tariff on all iPhones made exterior the US, which simply added extra gasoline to fireside over potential worth hikes for the rumored iPhone 17.
Hypothesis in regards to the telephone’s new options and upgrades (plus the prospect of an extremely skinny iPhone) has added to the anticipation because the anticipated launch date approaches. However there are many components that may have an effect on the worth of an iPhone, together with tariffs, manufacturing prices and the general well being of the US economic system.
My colleague Patrick Holland has been reviewing telephones for CNET since 2016, and monitoring costs over time. He says the new iPhone is due for a worth hike no matter what occurs with tariffs.
Trump’s Nationwide Financial Council Director Kevin Hassett tried to downplay the affect of a possible tariff in an interview with CNBC on Tuesday.
“All people is making an attempt to make it look like it is a disaster if there is a tiny little tariff on them proper now, to attempt to negotiate down the tariffs,” he stated.
Apple didn’t reply to a request for remark for an earlier model of this story.
We can’t know the precise worth for the subsequent iPhone till its launch, which is anticipated to be in September. However we have pored over all of the leaks, rumors and predictions about costs, and we discovered methods that will help you save if a brand new iPhone is in your future.
How tariffs might have an effect on the price of the subsequent iPhone
Amid President Donald Trump’s ongoing tariff bender, greater reciprocal tariffs are at present on pause. Nonetheless, Trump took to social media on Might 28, threatening Apple with a 25% tariff on all iPhones made exterior the US, though the timeline is unclear. There’s at present a ten% baseline tariff on all imports and a 30% tariff on items from China, the place Apple nonetheless manufactures most of its merchandise. These charges can also begin to rise in July when the preliminary tariff pause expires, which might result in greater costs on every little thing — together with the rumored iPhone 17.
Apple seems to have dodged a variety of the preliminary tariff affect. It stockpiled telephones earlier than tariffs took impact, and Trump’s exemption record included many telephones, laptops and different electronics that Apple produces.
The tech large has additionally moved some US iPhone manufacturing from China to India, which at present has a decrease tariff price. Nonetheless, Trump known as out Apple CEO Tim Cook dinner to as a substitute transfer iPhone manufacturing to the US. Most consultants contemplate this an unrealistic demand, particularly within the brief time period, due to greater labor and manufacturing prices within the US. Estimates have urged {that a} US-made iPhone would value as a lot as $3,500.
That leaves costs for the subsequent iPhone in limbo. Trump’s administration known as the exemption record “momentary” in early April, saying that exemptions would finish in “a month or two.” Across the identical time, Trump stated that semiconductors, which energy tech merchandise, will finally be positioned in a distinct “tariff bucket.” Nonetheless, no particulars have been shared in regards to the timeline or anticipated tariff percentages.
With all of the reprieves showing to be momentary, tariffs might nonetheless doubtlessly have an effect on costs by the point the rumored iPhone 17 is anticipated to be launched.
If the unique reciprocal tariff pause expires, as an example, taxes on imports from India would rise from 10% to 26% beginning in July. If the 90-day pause for China expires, tariffs on that nation would soar from 30% to 145% in August. It is unclear if Apple’s 25% tariff could be along with or as a substitute of particular person nations’ import duties.
Consultants level out {that a} tariff price hike would not essentially imply an iPhone’s worth would improve on the identical price, however most count on not less than some affect.
And the place the telephone is assembled is simply a part of the tariff equation. Apple sources parts for the iPhone from dozens of different nations, which might additionally doubtlessly have an effect on the worth.
Primarily based on the place tariffs stand now, here is how a lot you would doubtlessly pay for the subsequent iPhone primarily based on present iPhone 16 costs. These are our estimates and never official pricing from Apple:
Potential iPhone worth with reciprocal tariffs
| Present worth | Present 10% tariff on items from India | Potential 26% tariff for India | Present 30% tariff on items from China | Potential 145% tariff for China | |
| iPhone 16E (128GB) | $599 | $659 | $755 | $779 | $1,468 |
| iPhone 16 (128GB) | $829 | $912 | $1,045 | $1,078 | $2,031 |
| iPhone 16 Plus (128GB) | $929 | $1,022 | $1,171 | $1,208 | $2,276 |
| iPhone 16 Professional (128GB) | $999 | $1,099 | $1,259 | $1,299 | $2,448 |
| iPhone 16 Professional Max (256GB) | $1,199 | $1,319 | $1,511 | $1,559 | $2,938 |
| iPhone 16 Professional Max (1TB) | $1,599 | $1,759 | $2,015 | $2,079 | $3,918 |
If the 25% Apple tariff takes impact, here is the potential worth improve for a brand new iPhone, primarily based on the present iPhone 16 costs. Once more, Apple could not elevate costs at a 1-to-1 price with tariff hikes, however this desk incorporates each reciprocal and potential Apple particular tariffs to calculate potential costs:
Potential iPhone costs with reciprocal and Apple tariffs mixed
| Present worth | Present 10% tariff on items from India | Potential 26% tariff for India | Present 30% tariff on items from China | Potential 145% tariff for China | |
| iPhone 16E (128GB) | $599 | $809 | $904 | $928 | $1,617 |
| iPhone 16 (128GB) | $829 | $1,119 | $1,252 | $1,285 | $2,238 |
| iPhone 16 Plus (128GB) | $929 | $1,254 | $1,403 | $1,440 | $2,508 |
| iPhone 16 Professional (128GB) | $999 | $1,349 | $1,508 | $1,548 | $2,697 |
| iPhone 16 Professional Max (256GB) | $1,199 | $1,619 | $1,810 | $1,858 | $3,237 |
| iPhone 16 Professional Max (1TB) | $1,599 | $2,159 | $2,414 | $2,478 | $4,317 |
What else might trigger the brand new iPhone’s worth to extend?
Trump instantly criticized retailers like Walmart and Amazon after they urged that tariffs might end in greater costs, so it stands to cause that Apple will not immediately blame tariffs for potential worth hikes to keep away from a Trump tirade.
Fairly, Apple might attribute the worth improve to improved options and design prices. No matter tariffs, Apple has plans to lift iPhone costs this yr, The Wall Road Journal reported.
Consultants say Apple could also be overdue for a worth improve anyhow. It has been 5 years for the reason that primary iPhone mannequin elevated in worth, and every iteration of the iPhone usually improves on options from the final model.
Holland notes that the bottom iPhone mannequin hasn’t gone up in worth since 2020. His analysis factors to the usual iPhone mannequin’s worth rising roughly each 5 years, between $50 and $130. Primarily based on this proof and the iPhone 16’s present worth of $829, we might count on the brand new iPhone to value someplace between $879 and $959.
What is going to the iPhone 17 Air value?
Early rumors had the iPhone 17 Air topping the iPhone Professional in worth. Nonetheless, a March Bloomberg report urged the telephone might value round $900, just like the present iPhone 16 Plus’s price ticket. These estimates are primarily based on the present prices and will not embrace the potential affect tariffs might have on an ultrathin iPhone’s worth.
How the economic system might have an effect on iPhone costs
Uncertainty within the US economic system — partly because of the aforementioned tariff turmoil — has left many cautious about what’s to come back. Whereas the latest settlement with China to pause tariffs helped the inventory market to largely get well from the dive it took after Trump’s Liberation Day, that reprieve affords solely momentary reduction.
Issues in regards to the dangers of upper unemployment and better inflation have left the Federal Reserve in wait-and-see mode for reducing rates of interest. Larger rates of interest could cause firms like Apple to tug again on spending and funding. Mixed with greater tariffs, that pullback might doubtlessly result in world provide chain disruptions. Fewer iPhones out there available in the market might result in greater costs.
If inflation resurges, rising prices might drive Apple to extend the subsequent iPhone’s worth.
One tiny shiny aspect, in concept, is {that a} weakening economic system might drive Apple to carry off on elevating costs so it could keep aggressive. However that won’t supply a lot comfort in case you’re nervous about spending cash due to a possible recession.
Will older iPhones value extra, too?
One strategy to save on Apple merchandise is to purchase final yr’s mannequin as a substitute of the latest launch. Nonetheless, if the brand new iPhone is dramatically costlier when it is launched, demand might improve for the older fashions. That would result in worth hikes on older fashions, too.
The flip aspect of that is that if the brand new iPhone’s costs rise and you’ve got an older iPhone, your previous iPhone would additionally possible improve in worth, Holland stated.
Buying and selling or promoting a used iPhone may help offset the price in case you do determine to purchase the brand new iPhone.
Different methods Apple might elevate costs
Even when Apple decides to carry the subsequent iPhone’s worth regular, there are different methods for the tech large to recoup elevated prices.
Apple might doubtlessly offset the affect of tariffs by elevating the worth on its providers — together with its music, information and knowledge plans — in accordance with provide chain skilled Joe Hudicka.
“We’ll see these markups within the subscription providers first as a result of they’re going to seem smaller,” he stated. “Shoppers will nonetheless pay, simply not .”
Ought to we consider rumors and hypothesis about iPhone costs?
So significantly, how a lot is a brand new iPhone going to value? The reality is, we will not say with any certainty what the ultimate numbers will likely be. Our assessments are primarily based on ever-changing tariff insurance policies, previous pricing traits, rumors and leaks which might be typically primarily based on insider information. However till Apple releases the rumored iPhone 17, we will solely supply our greatest estimates for the way a lot the ultimate price ticket will likely be.
