Trump tariff chaos to set iPhone costs soaring as expert weighs in on steep hike (2025)

EXCLUSIVE: Donald Trump's tariffs will impose increased costs on Chinese produced goods – but with most iPhones being constructed in China, experts warn UK customers could bear some extra costs

News

Claudia Trotman Audience Reporter

11:00, 19 Apr 2025

Trump tariff chaos to set iPhone costs soaring as expert weighs in on steep hike (1)

Donald Trump's tariff war provided plenty of speculation over the price of everyday products – with some suggesting an iPhone could be priced around $2,150 (£1,622).

It was revealed that over 1,000 components go into the makeup of an iPhone – and they're made all over the world. However, they are largely put together in China. Apple is secretive about its production details but analysts estimate that about 90% of its iPhones are assembled in the country. This poses a problem, as Trump's current tariff rate on the Asian superpower has jumped from 10% to 145% – meaning Chinese phone parts will increasingly become more inaccessible.


But as for who bears the brunt of that cost – it's not looking good for the consumer. An American brand built in China and purchased by customers in the UK is sure to incur more than a few extra quid.

Trump tariff chaos to set iPhone costs soaring as expert weighs in on steep hike (2)

American tech expert, Greg Zakowicz, Senior Ecommerce Expert at Omnisend, weighed in on the issue of how much iPhones could cost the average customer in the UK – and warned causal lookers to seal their purchases now.

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He said: "Considering there was a row of Silicon Valley tycoons standing behind Trump at his inauguration, cosying up to him, these sweeping tariffs are bound to hit them all where it hurts – their profit margins. Apple is no exception to this.

"While their products are proudly stamped with ‘designed in California’, it is quickly followed by ‘made in China’. The tech giant has been moving towards making its own hardware, such as the chips, but the phones are still assembled in China and will be affected by these tariffs.

"Apple’s most successful product, the iPhone, is universally loved around the world and there’s a chance consumers in countries beyond the US could be made to share the burden of increased prices.


"In such uncertainty, anyone considering buying an iPhone may want to get their skates on before Apple execs begin to look more closely at pricing.”

Trump imposed the “reciprocal” tariffs – a tax on imports – of 125% on goods imported into the US from China. On Thursday it became clear a separate 20% fentanyl-linked border tax would be levied on top of this, taking the total burden to 145%.


In an example of potential price increases, analysts at investment bank UBS have warned that the price of an iPhone 16 Pro Max (with 256GB of storage) could rise by 79% from $1,199 (£915) to about $2,150 (£1,600), based on those tariff prices.

Trump tariff chaos to set iPhone costs soaring as expert weighs in on steep hike (3)

After these announcements, Apple’s share price sank so much that it lost its title as the world’s most valuable company to Microsoft. China assembles nine in 10 iPhones, and the country responded with its own high tariffs which will further destabilise the market.


The Trump administration insists it could manufacture the devices on home soil rather than importing them from Asia.

Previously, the press secretary, Karoline Leavitt, told reporters that Trump believed Apple’s recently announced $500bn investment, as well as increasing import costs sparked by his trade tariffs, would encourage the company to ramp up manufacturing in the US.

“He believes we have the labour, we have the workforce, we have the resources to do it. If Apple didn’t think the US could do it, they probably wouldn’t have put up that big chunk of change,” she said.

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However, some experts say this move could cost billions, as well as around three years to change. In the meantime, experts say the prices will inevitably rise.

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Trump tariff chaos to set iPhone costs soaring as expert weighs in on steep hike (2025)

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