Another report about iPhone 17 price increase
A well-known analyst confirms assumptions that Apple will increase the price of its latest smartphones. There are no customs duties for Indian devices.
iPhone with a roll of dollar bills: More cash for Series 17?
(Image: n.tati.m/Shutterstock)
In probably less than a month, Apple will be presenting new iPhones. It is generally accepted that they will be pricier. Now a well-known analyst has confirmed this once again: Allegedly, a 50 to 100 US dollar surcharge per device is to be expected. How much money this will ultimately cost in Europe remains unclear, but Apple tends to push through price increases for its most important product worldwide. Interestingly, thanks to clever negotiations with the Trump administration and billions invested in the USA, Apple will probably not have to pay any additional tariffs on Indian goods, although a large proportion of the devices for the American market will come from the subcontinent in the future.
Apple warns of additional costs
Apple recently announced that the new tariffs had cost the company 800 million dollars in the last quarter. However, this was 100 million dollars less than expected. For the current third quarter, the company has again set aside 1.1 billion dollars – for customs duties and “trade effects.” However, no one knows yet whether this sum will be utilized, as it dates back to before the start of the current round of negotiations with the US government.
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As Jeff Pu from GF Securities in Hong Kong now informs investors in a report submitted to Macrumors, it is “likely” that the iPhone 17 devices will be pricier in the USA than the iPhone 16 series. Pu himself sees the price increases as a result of the tariffs. Currently, 20 percent is on the cards for goods from China, although this could change quickly. The situation is and remains fluid. The Wall Street Journal writes that Apple decided “years ago” to manufacture iPhones in India, giving it a “head start” against negative tariff developments.
Preparations since 2017
The first Trump administration from 2017 to 2021 already threatened to impose tariffs on Chinese iPhones – was followed by massive production problems due to the coronavirus. Both are said to have accelerated Apple's plans for India. The company is now unlikely to have to pay any fees for “Made in India” devices if this does not change in the short term due to the current conflict over Russian oil between Washington and New Delhi.
Although only the final assembly of iPhones takes place in India –, Apple only has to pay customs duties on components from China for the devices that remain in the country. If the iPhones are exported, these are not incurred. In the twelve months to March, the value of iPhone exports is said to have risen to 17 billion dollars.
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