May 13, 2025 — Apple is reportedly weighing price increases for its upcoming iPhones, set to be released this fall, with plans to pair these price hikes with new features and design changes.
According to a report by The Wall Street Journal (WSJ), the tech giant aims to avoid any perception that the increase in iPhone prices is linked to the U.S. tariffs on goods from China, where most Apple devices are assembled. Instead, Apple intends to focus on the innovative updates its new iPhones will offer to justify the potential cost bump.
The upcoming iPhones are expected to feature significant design and format changes, including an ultrathin model that will replace the current iPhone 16 Plus, which is priced at $899 in the United States. Investment bank Jefferies estimates that of the approximately 65 million iPhones Apple sold in the U.S. last year, 36 to 39 million were Pro or Pro Max models, indicating strong demand for the higher-end versions.
In the face of ongoing pressures stemming from the U.S.-China trade conflict, Apple CEO Tim Cook has been working to secure the company’s supply chain. The report highlights that Cook took steps earlier this year to build up inventory in March, anticipating potential tariffs. Additionally, in response to the trade tensions, he shifted some iPhone production for the U.S. market to India, a move that aims to mitigate the impact of the tariffs. Tim Cook recently stated that the majority of iPhones shipped to the U.S. during the April-to-June quarter would be sourced from India.
With these adjustments in manufacturing and pricing, Apple is clearly preparing for a competitive fall launch, ensuring that its next-generation iPhones stand out both in terms of features and pricing strategy. As the launch date approaches, all eyes will be on how Apple positions itself in the market amidst shifting global trade dynamics and rising consumer expectations.