As the Trump administration rolls out its latest tariffs, many U.S. companies are bracing themselves for the financial impact, with Apple standing as a prime candidate for substantial effects. With a significant portion of its product manufacturing based in China, the newly imposed tariffs initially soared to 125% on all goods, before a temporary reduction to 10% over the next 90 days.
During a recent event, a reporter inquired whether exemptions would be considered for companies facing the most significant hardships. Trump's ambiguous response hinted that such exemptions could be on the table for those significantly impacted—indicating that Apple may find itself at the forefront of these considerations.
The Wall Street Journal has conducted an analysis revealing that the production cost of the upcoming iPhone 16 Pro could potentially increase by $300.
However, it remains uncertain how these discussions will unfold, as the administration has shown a penchant for frequent shifts in stance. Trump openly stated that decisions about exemptions could rely heavily on his "instinct."
In response to these challenges, Apple has started stockpiling inventory to mitigate the economic strain of the tariffs and is also contemplating expanding its manufacturing campus in Brazil, where tariff rates are considerably lower.
