Apple to raise prices for iPhone 17 smartphones — details
The Cupertino-based company is considering raising the price of its autumn smartphone lineup, while preparing new features and slimmer designs. In this way, Apple aims to maintain margins and explain the price increase by anything other than the duties imposed on Chinese phones in the United States.
The Wall Street Journal writes about it.
China remains Apple's main manufacturing site
Following an agreement between Washington and Beijing, most mutual duties have been reduced to 10%, but the 20% duty on Chinese smartphones imposed by President Donald Trump remains in place. For Apple, this means additional costs — CEO Tim Cook warned of about USD 900 million in the current quarter alone.
To mitigate the risks, in March, Apple increased its stock of components and shifted some production for the United States to India — in April-June, most iPhones for the American market will be assembled there. However, the flagship Pro and Pro Max, which require better cameras and larger batteries, are still mostly rolling off the assembly lines in China, as Indian facilities are not yet capable of mass production on such a scale.
Jefferies analysts estimate that out of the 65 million iPhones sold in the United States last year, about 36-39 million were Pro versions. Apple won't be able to cut costs at the expense of suppliers alone, so the company will either have to sacrifice profits or raise prices.
Inside the corporation, they are afraid to openly blame tariffs: the example of Amazon, which was criticised by the White House for the possible display of duties in the customer's basket, demonstrated the political risks. That's why Cupertino is leaning towards the "least painful" way out — a price increase with a focus on new gadget features rather than tax pressure.
In autumn, the company is expected to unveil the iPhone 17 family: from the base model (now starting at USD 799) to the Pro Max (starting at USD 1,199), and a thinner version will take the place of the current iPhone 16 Plus. At the same time, Apple is exploring the prospect of local production in the United States, but a full-scale transfer could take years. Meanwhile, India is increasing its share of global iPhone shipments to 13-14% and has a chance to double this result this year. However, even in 2027, according to TechInsights, China will remain a key source of iPhone components.
As a reminder, Apple is preparing to radically change its approach to launching its smartphones. The company intends to stretch its releases over several seasons and showcase two unusual new products for the first time — an ultra-thin iPhone and the first foldable model.
We also wrote that Apple plans to depart from the usual presentation schedule and divide the iPhone 18 launch into two stages. The Pro models will be presented in the autumn of 2026, while the more affordable versions of the iPhone 18, along with the updated iPhone 16e, will be released only in the spring of 2027.
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