Apple is reportedly weighing potential price increases for its upcoming fall iPhone lineup without blaming pricing on China tariffs. The tech giant hopes to introduce new features and design changes to justify hefty price tags.
The Wall Street Journal reports that Apple is considering raising prices for its next generation of iPhones set to be released this fall, according to people with knowledge of the company’s plans. The tech giant is looking to couple the potential price hikes with new features and design changes, including an ultrathin design, instead of blaming increases prices on Trump’s tariffs on China.
Apple CEO Tim Cook has been under pressure due to the U.S.-China trade conflict, which poses risks to the company’s supply chain. In response, Cook built up inventory in March before tariffs were announced and shifted some manufacturing for the U.S. market to India. He stated earlier this month that the majority of iPhones shipped to the U.S. in the April-to-June quarter would originate from India.
However, for Apple’s most profitable, high-end phones, such as the Pro and Pro Max models, Chinese factories will continue to handle the bulk of production. Although Indian factories have the capability to produce Pro models, the country’s infrastructure and technical capabilities are not yet advanced enough to support mass production at the scale China currently provides. These high-end models feature superior camera systems and larger batteries.
At the same time, Apple executives are cautious about attributing price increases to tariffs. When a news report in April suggested that Amazon might show the impact of tariffs to its shoppers, the White House denounced it as a hostile act, prompting Amazon to swiftly deny the idea. Faced with these circumstances, Apple is considering what supply-chain insiders describe as the least unfavorable option: raising prices on the new iPhones to maintain profitability while finding justifications other than tariffs for the price hike. The specific new features Apple may offer to help validate the price increases remain unknown.
If Apple follows its usual schedule, the new models released this fall will be known as the iPhone 17 lineup. Current iPhone models range from the base iPhone 16, starting at $799, to the iPhone 16 Pro Max, which costs $1,199 and up. The fall lineup is expected to include a slimmer model that would replace the current iPhone 16 Plus, which retails for $899 in the U.S.
Read more at the Wall Street Journal here.
Lucas Nolan is a reporter for Breitbart News covering issues of free speech and online censorship.
