Don’t Buy an iPhone Until You See How Tariffs Could Double the Price. We Do the Math

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President Donald Trump fell from his radical “reciprocal prices” this week, but he increased the tax on China goods to 125% and left the 10% tariff on other imports from other countries. Experts say you should expect to pay more for your next iPhone.

Trump announced the 90-day break on his social media platform for all countries because they have not retaliated with their own prices. The only exception was China, where Apple produces most of its products, which responded to each Trump’s price hikes this year by increasing American products prices. The White House announced on Wednesday a price of 125%, then said Thursday that this is in addition to the 20%tariffs imposed since February, increasing the prices of this year to China to 145%.

If Apple has adopted the price costs in China to customers, the iPhone 16 Pro Max with 1 TB of storage could go from $ 1,599 to almost $ 3,600 – assuming that the price of 20% previously imposed was already integrated at the current price.

This type of sticker shock would lead to many of us to reconsider the purchase of a new iPhone, especially in an economic uncertainty. But Apple has ways to compensate for the impact of prices through its services – including its music, news and data plans – according to a supply chain expert JOE HUDIDKA.

“Apple will probably absorb some of the price costs in advance to maintain the prices of stable stickers, then transmit the rest to consumers gradually via service beams, the longevity of devices and ecosystems upgrades,” he said. “Consumers will always pay, just not at the same time.”

Apple began to move part of its manufacture in other countries, including India and Vietnam. Yesterday, these countries were struck by their own “reciprocal prices” – Vietnam with an increase of 46% and India an increase of 26% – but were part of the reputations. However, they are still faced with the 10% reference rate which entered into force last week.

And although experts do not expect costs to increase on a basis of 1 to 1 with prices on goods from China – and other countries – you should expect increases. It is not clear, however, exactly how much the prices will have an impact on prices. If the rise in prices causes demand for demand, experts note that Apple and other producers could reduce Their prices to remain competitive.

If you are on the market for a new apple device or an imported game system, such as the Nintendo Switch 2 or PlayStation 5 Pro, here is how prices could increase and what you need to do to prepare.

How much could iPhone prices increase with prices? We do the calculation

If the total cost of prices has been transmitted to buyers, we would see a 125% increase in prices on Apple Products in China. Apple has moved part of its production in other countries, but most iPhones are still made in China.

Here’s how it could affect the cost of an iPhone if the full prices were applied:

But there is much more that goes in the price of an iPhone than simply where it is made. Apple gets supplies on the components of its products from a long list of countries, which could face higher prices after the break. And a price on goods does not necessarily mean that prices will increase in the same amount. If companies want to remain competitive, they could absorb some of the costs to maintain their prices lower.

“It will not be as high as one by one in terms of increased tariff,” said Ryan Reith, group vice-president for the global suite to track IDC devices, which includes mobile phones, tablets and portable devices. “The calculations are not as clear as that on the prices.”

Will other technological products also see price hikes?

Smartphones are not the only devices that should increase prices due to prices. Last month, Best Buy and Target warned consumers to expect higher prices for everything after the last tariff cycle has entered into force. The February tariff hike had already encouraged Acer to announce that it increased prices on its laptops.

Apple announced a price drop of $ 100 on its new MacBook Air last month, one day after the last tariff cycle has entered into force. In what was largely considered an attempt to persuade Trump to “carve out” an exemption from the last rates, Apple announced in February that it would spend more than $ 500 billion in the next four years to Expand manufacturing operations in the United States.

“They have already engaged $ 500 billion in American manufacturing, and there was no sculpture for Apple”, ” Patti BrennanA certified financial planner and CEO of Key Financial, in an email. “Expect that prices double for their products.”

However, whatever the exact amount, expect prices on goods from China and other countries to translate into higher prices for consumers. This means that the technology you use daily, such as imported smartphones, tablets, laptops, televisions and cooking devices, could become even more expensive this year.

What’s going on with prices?

Trump announced a reference rate of 10% on all imports plus “reciprocal prices” on imports of more than 180 countries on April 2, which he nicknamed “Liberation Day”. It has long praised prices as a way like the trade deficit and increases income to compensate for tax cuts, although many economists say that prices could cause higher prices and could end up harming the American economy. The equity prices dropped after Trump’s announcement when the markets reacted badly at the radical prices.

Trump took a particularly difficult position on China, which was already subject to prices that Trump ordered during his first mandate. He started in February, imposing 20% ​​prices, then announced last week a rate of 34% on goods from China. Earlier this week, he added another 50% rate before landing yesterday on the 125% rate against China. China responded with its own prices after each Trump’s announcements.

The prices, in theory, are designed to have an impact financially on other countries because their goods are taxed. The prices are paid by the important American company the product, and this overload is generally – but not always – transmitted to the consumer in the form of higher price.

Should you buy technology now to avoid prices later?

If you plan to buy a new iPhone, a game console, MacBook or another technology, buy it now could save money.

But if you do not have the money at the checkout and you need to use a credit card or buy now, pay a later plan just to avoid prices, say the experts to make sure you have the money to cover costs before starting to accumulate interest. The average interest rates of credit cards are currently greater than 20%, the cost of financing a large purchase could quickly eliminate any economy that you would get by buying before prices increase due to prices.

“If you finance these expenses on a credit card and you cannot reimburse it in full in one to two months, you will probably end up paying much more than a price would cost you,” said Alaina Final, accountant, founder of organized money and member of the CNET Expertise Committee. “I recommend that you take a break from big purchases until the economy is more stable.”

One way to save on Apple products, even if prices are increasing, is to buy the model from last year instead of the latest version or a version used.

“Apple relied on this with its renovated certified program, much like the used car model in the automotive industry,” said Haricka. “This program helps to extend the lifespan of devices, keeping customers in the Apple ecosystem longer while distributing the impact of costs over time.”