Apple’s iPhone 16 Pro Max May Soar to $2,300 — Thanks to Donald Trump’s Tariff Punch

Apple Inc's iPhone 16 Pro Max might a bit more expensive in the US, with prices potentially soaring by 43% if Donald Trump ’s proposed tariffs on Chinese imports come into effect. The move has sent shockwaves through the tech industry, as Apple remains one of the biggest companies impacted, according to a Reuters report.

Following the announcement by the US President on reciprocal tariffs, Apple’s stock plunged 9.3%, marking its worst single day drop since 2020.

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Reasons behind price rise?

The iPhone 16 Pro Max, which currently retails for $1,599, could jump to nearly $2,300 if the additional tariff costs are passed on to consumers. Before getting re-elected, Trump has suggested imposing tariffs of up to 60% on Chinese imports. Since Apple relies heavily on China for manufacturing—now facing a 54% tariff—its production costs could shoot up further.

Analysts at Rosenblatt Securities estimate that even the budget-friendly iPhone 16e, priced at $599, could climb to $856.

Under Trump’s first term, Apple managed to secure tariff exemptions. This time, however, no such waivers have been granted, raising further concerns about rising costs.

Sales under pressure

Adding to Apple’s challenges, iPhone sales have been sluggish, with its new AI-powered Apple Intelligence features failing to drive major upgrades. Some analysts believe Apple might delay any drastic price hikes until the iPhone 17 launch later this year. However, with tariffs also affecting production in Vietnam and India, offsetting costs may be difficult, as per analysts. 

If Apple is compelled to raise prices, it could give competitors like Samsung an advantage, as South Korea faces lower tariffs than China.

Experts estimate these tariffs could cost Apple up to $40 billion, making negotiations with both China and the U.S. government critical for the company’s future.

Apple has not yet responded to Reuters' request for comment.