According to Digital trends, President Donald Trump has just warned that he will impose an additional 50% tax on imported goods from China if Beijing does not cancel the 34% tax rate it has just imposed in response to the US.
The new tax rate is expected to take effect from April 9, in the context of escalating trade tensions between the two major economies.
With the majority of iPhones still made in China, the move puts Apple's product prices at risk of rising sharply. If the entire 104% tax rate is passed to consumers, the selling price of the iPhone 16 Pro Max 1TB version could skyrocket to $3,262, compared to the current price of $1,599.
The iPhone 16e - Apple's most expensive product line today - could also increase from $599 to $1,222 for the 128GB version. Meanwhile, the 128GB standard iPhone 16 will increase from $799 to $1,632.
However, Apple is not expected to fully transfer the tax cost to buyers. Thanks to its strong financial resources, the company can absorb part of the cost to keep the selling price at a more reasonable level. However, in the current context, higher prices for domestic US customers are almost inevitable.
This situation poses a difficult problem for Apple CEO Tim Cook and his team of leaders, as they have to calculate how to maintain purchasing power while still ensuring profits. One of the solutions that Apple is pursuing is to negotiate with component suppliers and manufacturers to reduce prices, thereby reducing production costs to offset the impact of taxes.
Apple is also accelerating plans to diversify its supply chain to countries with lower tariffs. At the same time, the company may be negotiating with the Trump administration to request a tax exemption for the iPhone and other products - something he achieved during his first term.
In addition, Apple is said to have stockpiled a significant amount of products in advance to maintain current selling prices in the short term, while waiting for the possibility of the two sides reaching a trade deal to cool down the volatile situation.
