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Apple CEO has blunt response for those wondering how Trump's tariffs will impact iPhone pricing

Home> Apple> iPhone

Updated 14:08 5 May 2025 GMT+1Published 14:09 5 May 2025 GMT+1

Apple CEO has blunt response for those wondering how Trump's tariffs will impact iPhone pricing

There was been much speculation as to how the new import tariffs will affect the cost of the iPhone

Rikki Loftus

Rikki Loftus

The CEO of Apple has given a blunt response for those wondering how President Donald Trump’s tariffs will impact future iPhone pricing.

There has been much uncertainty over just how expensive products are going to become after President Trump announced his series of import tariffs earlier this year.

Many fear that the additional fees on imported products will end up being handed to the consumer through increased pricing.

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However, Apple CEO, Tim Cook, has now revealed how the tariffs will affect iPhone users.

Apple reported its earnings for Q2 2025 last week, with both revenue and earnings being slightly higher than predictions from analysts.

Many fear that the new tariffs could mean higher prices for the iPhone (Cheng Xin/Getty Images)
Many fear that the new tariffs could mean higher prices for the iPhone (Cheng Xin/Getty Images)

Cook did not actually answer the question that will no doubt be on everyone’s lips - how much iPhone prices are going to be impacted by the new tariffs.

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But he did reveal that he believes the tariffs will increase the tech giant’s costs by around $900 million for the quarter.

The Apple CEO also shared during the earnings call that one of Apple’s businesses has been impacted by tariffs already.

He said: “For China, there was an additional 125% tariff for imports of certain categories of products announced in April. And for us, that's some of our US AppleCare and Accessories businesses, and brings the total rate in China for these products to at least 145%.”

Is the price of iPhones going to increase?

While smartphones are currently exempt from reciprocal tariffs, there’s no telling if that could change in the future.

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Apple CEO Tim Cook has responded to the Trump tariffs (Kevin Lamarque/Reuters/Bloomberg via Getty Images)
Apple CEO Tim Cook has responded to the Trump tariffs (Kevin Lamarque/Reuters/Bloomberg via Getty Images)

It is also not yet clear if iPhones will increase in price to compensate for the other Apple products that may be hit with increased import fees.

The tech firm uses multiple countries as sources for various components of its products including Japan, Taiwan, China and India.

So, if these countries are hit with more import tariffs set by the Trump administration then this could add up more costs for Apple.

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Cook hasn’t announced any definite increases to the price of the iPhone yet, which could mean that the company has not decided how it’ll combat the tariffs that are coming its way.

However, if these tariffs remain in place for the foreseeable future, it looks highly likely that it will be consumers who will have to cough up more money for their imported goods.

This also means that it seems very likely that higher prices for Apple products are on the horizon.

Featured Image Credit: Kevin Lamarque/Reuters/Bloomberg via Getty Images
Apple
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