Apple is evaluating a possible price increase for its upcoming iPhone lineup this fall, though it aims to avoid directly connecting the decision to U.S. tariffs on goods imported from China, according to a report from the Wall Street Journal on Monday.
The tech firm saw its shares climb by 7% in premarket trading, buoyed by a broader market rally following the announcement that Washington and Beijing would temporarily reduce some of the tariffs they’ve imposed on each other. However, Chinese exports to the U.S. will still be subject to a significant 30% duty.
Apple, which manufactures the bulk of its devices in China, has found itself deeply entangled in the ongoing trade conflict between the U.S. and China—an issue that has escalated under President Donald Trump’s series of tariffs.
The Wall Street Journal, citing sources familiar with Apple’s thinking, reported the company is preparing to roll out higher price tags on its devices. Reuters noted that Apple did not immediately comment on the report when approached.
A potential bump in iPhone pricing could help the Cupertino-based firm offset the increased costs brought on by the tariffs. These trade measures have disrupted global supply chains and prompted Apple to accelerate its production shift toward India.
Earlier this month, Apple disclosed that the U.S. tariffs were likely to increase its costs by about $900 million in the April–June quarter alone. The company also stated that it plans to source the majority of iPhones sold in the U.S. during that period from Indian manufacturing lines.
For months, market analysts have speculated that Apple might implement price increases, though many warned that such a move could erode the company’s competitive edge. Rivals like Samsung have been leveraging artificial intelligence features to attract buyers—an area where Apple has been slower to innovate.
According to projections from Rosenblatt Securities last month, the base model of the iPhone 16—launched at $799 in the U.S.—could cost consumers as much as $1,142 due to the tariff impact, marking a potential increase of 43%.
To justify any price hikes, Apple reportedly plans to unveil new features and aesthetic upgrades, including a sleek ultrathin design, the WSJ report said.
Meanwhile, Amazon faced scrutiny from the White House last month after its budget-focused Haul division explored passing import charges onto customers. The move triggered accusations from the Trump administration, which labeled the action a “hostile political act.”
