However, the story only gets bleaker as the Trump administration is also instating what it calls “reciprocal tariffs” on select nations where the prices of US exports are said to be inflated by international government measures. Most iPhones sold today are made in China, and those imports now face a tariff rate of up to 54 percent, a combination of the 34 percent reciprocal tariff announced today on top of the 20 percent levy the President launched in January. The increased cost of production will either see Apple’s margins curbed substantially, or the company will be forced to increase the price of its products to compensate, likely lowering demand as customers are turned away by the resultant sticker shock.
Author: Benjamin Mayo
Published at: 2025-04-02 22:43:22
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