Recently, US President Donald Trump escalated trade disputes by announcing that iPhones imported into the United States would be subjected to a 25% tariff unless they are produced domestically. This cautionary statement coincides with Apple’s continuous push to broaden its manufacturing footprint beyond China. India has become a crucial part of this plan, with around 15% of iPhones currently assembled there and targets to increase that share to 25% in the near future.
Morgan Stanley projects that Apple may increase iPhone prices globally by 4% to 6% to counterbalance the impact of Trump’s U.S. import tariff. The higher profit margins from sales outside the United States would help offset the reduced earnings on iPhones sold domestically.
Analysts estimate that, for instance, producing an iPhone 16 Pro in the United States would increase its cost by 35%. This calculation factors in significantly higher labor expenses in the U.S. compared to foreign manufacturing, along with tariffs that would still apply to essential materials and components.
According to a report by the Global Trade Research Initiative (GTRI), even if the U.S. enforces a 25% tariff on iPhones made in India, the overall cost of production would remain significantly cheaper than producing the devices domestically within the United States.
Meanwhile, Dan Ives, head of global technology research at Wedbush Securities, forecasts that including tariffs, the price of iPhones could rise to approximately $2,300—significantly higher than the current $1,199 for Apple’s newest model. He also points out that if production were fully based in the U.S., prices might soar even further, potentially hitting $3,500.
iPhone 17 series launch date
Apple is expected to launch its new iPhone 17 series this September, continuing its tradition of annual updates for its best-selling smartphone range. The next-generation iPhone 17 family is rumored to include four distinct models: the iPhone 17, iPhone 17 Air, iPhone 17 Pro, and iPhone 17 Pro Max.
iPhone 17 series prices in India, the USA and Dubai
Apple’s forthcoming iPhone 17 lineup is expected to see a modest increase in cost. In India, the standard model may be introduced at approximately Rs 89,900, while the premium iPhone 17 Pro Max could carry a price tag as high as Rs 1,64,900. In the United States, the base model is likely to debut around $899, with the Pro Max version potentially soaring to $2,300. Meanwhile, buyers in Dubai might encounter starting prices near AED 3,799, with the top-tier model possibly reaching AED 5,399.