Apple, Reviewing IPhone17 Price Increase…Impact Of Tariffs Inevitable

Apple And Iphone Inevitably Affected By Tariffs On China (Source: AppleTrack)

It is reported that Apple is reviewing a price increase for the Iphone 17 series, scheduled to launch in September this year. The Wall Street Journal (WSJ) reported on the 12th (local time) that Apple is discussing a price adjustment for the first time in 3 years, aligned with the addition of new features and design changes.

The Iphone was designated as an item exempt from reciprocal tariffs by the Trump administration last month, but a 20% tariff is being applied due to the fentanyl tariff. As a result, Apple is in a situation where it is difficult to maintain existing margins without a price increase. WSJ reported, "Apple executives are cautious about attributing the cause of price increases to tariffs, but price increases are inevitable to protect margins."

Furthermore, Apple is shifting its production base from China to India. It is expected that India will account for more than 26% of global Iphone shipments this year, more than double the figure compared to the previous year. However, there are criticisms that it is still insufficient to meet global demand. Particularly, concerns arise that the pro and pro max models still heavily depend on Chinese factories, which could lead to difficulties in securing production volume.

Apple's review of the price increase this time is interpreted as part of an effort to reduce costs by relocating production bases and the impact of the Trump administration's tariff policy on global companies.