If you have an old Apple device that you are considering upgrading, you probably wonder how newly declared tariffs can affect the prices of moving forward, and whether it is worth buying now before the price hike.
Given the analyst and economist reactions for tariffs, market nervousness, and Trump’s stance on current financial chaos, the answer is that purchases can immediately save you some cash if things do not change.
iPhones can be very expensive
Trump announced a 34 percent tariff on China, which combines with a total of 54 percent tax on imports from China with the last 20 percent tariff. China is still one of the major suppliers of Apple, and has been consulted by industry analysts Roots Suggest that iPhone prices can rise by 43 percent.
Right now, the cheapest current-generation is starting from $ 599, the price of $ 599. If Apple does not get any kind of discount or if the tariffs do not change, the price of the iphone 16E can start from $ 856. The cost of $ 799 iPhone 16 can be $ 1,142, close to the initial price of the iPhone 16 Pro Max.
Equity Research company Rosynab Securities believes that Apple will need to increase the price of tariffs, iPad 42 percent, and MAC and AirPod prices to cover the prices of 39 percent of the prices of iphone and Apple Watch by 43 percent to cover the prices of 39 percent. Neil Shah, co-founder of Counterpoint Research, believes that Apple will need to increase the price at least 30 percent on an average to offset the tariff.
Morgan Stanley analyst Eric Woodring told CNBC That apple will need to increase prices of 17 to 18 percent.
Apple has shifted some of its production to other countries such as Vietnam, India, Thailand and Malaysia, but is subject to all those places as well as tariffs. 40 percent+ price increase is a worst position, and there are lots of variables in playing and factors that can shift in the near future, but do not seem that prices are going to be stable.
Can Apple absorb growth?
Trump said he would implement the tariff, and technology companies like Apple knew that it was coming. It is likely that Apple is increasing the US supply of current devices so that it can temporarily avoid increasing prices. Under the terms of the Tariff Executive Order, Apple will not have to pay tariffs on a ship on April 9, 12:01 AM Eastern time and for transit on its destination, so the company has a few more days to stock as much as possible.
When the stocks available in the United States decreases, Apple will have to make tough decisions. Increasing prices will affect the demand for iphoney in a market, where people are already careful of spending due to economic uncertainty, but such high tariffs will eat a lot in Apple’s benefits margins and push their stocks forward.
Apple may already have the iphone 16 models in the US, until the iPhone 17 model is launched to avoid price hike, but it is difficult to imagine a landscape where the iphone 17 prices do not at least to some extent.
CFRA research analyst Angelo Zeno said that Apple can struggle to increase consumer costs more than 5 to 10 percent. He said, “We hope that Apple will prevent any major growth on the phone, until this decline falls when its offiphone is ready to launch 17, as it is usually how it handles the planned price growth,” he said.
Bank of America Securities Analyst Vamsi Mohan said that if Apple had to absorb the entire impact, in 2026, income per share could be reduced by $ 1.24. Apple can accommodate prices, optimize the supply chains, and demand a discount to deal with tariffs according to Mohan, so it is possible that Apple will have a multi-high strategy.
Yale Budget Lab Executive Director Martha Gimble told the new York Times That companies are going to increase the cost. “These are really big tariffs,” he said. “These are not things that we can expect to just absorb companies.”
Will Trump come back?
At his true social site, Trump today said that he does not plan to change his policies. Yesterday, he said “I think it’s going very well – the markets are going to boom …”
However, he also said that he had a “productive call” with Vietnam about reducing tariffs, and he is “ready for a meeting in the near future.”
Trump has gone back and forth on the tariffs against Canada and Mexico, so it is difficult to say what he will do next. The executive order states that he can increase or expand the tariff on vengeance basis, or reduce scope or reduce limits or tariff countries “should take important steps to measure non-existing trade systems and be adequately aligned with the United States on economic and national security affairs.”
What about Congress?
The Congress can work, but with the Republican majority, there are obstacles. The Senate passed a resolution that would block the tariff on Canadian products, but it would be wasteful in the House. Republican Senator Chak Grassley A bipartisan bill proposed Trump would need to inform the Congress about the new tariff, the Congress was given a 60 -day period to approve him, but it is not Adequate republican supportIt is unclear whether it will progress, and if it is done, a president will need to remove the veto.
Will Apple get discounts?
The last time the Trump was in the office, he imposed tariffs that did not apply to iphoneion, and gave a discount for products such as Apple Watch.
This time, Trump has not given any exemption, and it is not clear what he will do. Cook met with Trump in February, and even donated $ 1 million for Trump’s inauguration. Cook has no doubt that Trump is being wooed for exemption from apple, but it has not yet worked.
Trump used the International Emergency Economic Powers Act to implement the tariff, so any exemption would need to come directly from Trump. There is no mechanism for individual product exemption, so Apple has no way to petition for exception.
When will prices increase?
If Apple needs to increase prices, it makes the most understandable to introduce the price growth for the company with iphone 17 for the company, but it is not clear that it will be able to hold that longer, nor can it increase prices on other devices.
Companies are already evaluating price increase and tariff reactions
This morning, Nintendo canceled the US-ordered for Nintendo Switch 2. Pre-orders were set to start on 9 April, but Nintendo says it would now assess “the potential impact of the tariff and market conditions” before providing the updated time at the later date.
Apple has not yet commented on moving on tariffs or its plans, but is likely to work behind the curtain to calculate the impact of the company.
Ground level
With all of uncertainty, if you need a new apple device and money is available, it is best to buy very soon. This may mean choosing an old iphoneion to upgrade an option to upgrade instead of a iphone 17 instead of a iphone 16.
Trump can fold, other countries can interact on low tariffs, or apple may get discounts, but there is no clear picture of what is going to happen.
Tariff time
The tariffs that Trump announced on Wednesday will be applicable on Wednesday, 9 April.
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