💰Production in US? If an iPhone 17 costs 30% more, would you still buy it?
In response to the U.S. tariff policy, which took effect on April 5, 2025, $Apple(AAPL)$ chartered planes to rush the iPhones back to the US, saving $8 billion.
U.S. President Trump believes that Apple could move its iPhone production to the U.S. to avoid the new round of tariffs.
Needham analyst Laura Martin stated that if Apple starts manufacturing its iconic iPhones in the U.S., costs would rise significantly. Apple’s stock price dropped sharply as investors became concerned that President Donald Trump's tariff policy would cause a major increase in costs.
If Apple passes the tariff costs onto consumers, the price of iPhones could increase by 30%-40%. Now, some are starting to wonder if it's the right time to buy the iPhone 16 Pro at a discount.
If the iPhone price increases by 30%, would you still buy it?
Would you buy the iPhone 16 now?
If Apple manufactures in the U.S., does it mean that Apple's sales will significantly decline?
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I don't think Apple would be able to manufacture iphones in the US, though, the lack of the appropriate supply chains have been brought up many times before. If they could though, I can imagine the advertising; The Iphone, handcrafted in America, for Americans. $5000.