iPhone Prices Could Top $3,200 CAD if U.S. Tariffs Stick: Analysts

A new round of tariffs imposed by President Donald Trump could sharply raise the cost of iPhones in the U.S., according to analysts.

Most iPhones are still made in China, which has now been hit with a 54% tariff. If Apple passes those costs onto customers, analysts at Rosenblatt Securities estimate that iPhone prices could rise by up to 43%, reports Reuters.

The base model iPhone 16, currently priced at $799 in the U.S., could climb to $1,142, while the high-end iPhone 16 Pro Max, which now retails at $1,599, could hit nearly $2,300, a 43% increase. If you convert that top end price to Canadian, that roughly $3,267 CAD. If Apple were to use a 1.50 exchange rate like it hedged for the iPhone 16e, we could see prices hit $3,450 CAD for the iPhone 16 Pro Max–before taxes. Good lord.

“This whole China tariff thing is playing out right now completely contrary to our expectation that American icon Apple would be kid-gloved, like last time,” said Barton Crockett, analyst at Rosenblatt.

Apple shares fell 9.3% on Thursday, marking their worst day since March 2020. They are down 4.8% on Friday as of writing, trading at $193.37 USD per share.

Trump’s latest tariffs hit a wide range of imports from countries like China, Vietnam (46%), and India (26%). Even though Apple has shifted some iPhone production to Vietnam and India, most devices are still assembled in China—leaving the company heavily exposed to U.S. trade policy.

Rosenblatt estimates Apple would need to hike prices by at least 30% to offset the new tariffs. CFRA Research analyst Angelo Zino, however, said Apple may only be able to pass along 5–10% of the increase and may wait until the iPhone 17 launch this fall to make any significant price adjustments.

Another concern: weakening iPhone demand. Newer AI features like Apple Intelligence haven’t sparked a big wave of upgrades, and with a big price hike on the horizon, analysts say Apple could lose more ground to Samsung, which isn’t impacted as severely by tariffs.

“Our quick math on Trump’s tariff Liberation Day suggests this could blow up Apple, potentially costing the company up to $40 billion,” Crockett said. The analyst says talks are likely between Apple, China and the White House.

Of course this is pure speculation, assuming the tariffs announced yesterday would remain as is. Apple’s iPhone sales would be crushed if prices surged and consumers were to bear the brunt of these tariffs.

Want to see more of our stories on Google?

Add iPhone in Canada as a Preferred Source on Google

P.S. Want to keep this site truly independent? Support us by buying us a beer, treating us to a coffee, or shopping through Amazon here. Links in this post are affiliate links, so we earn a tiny commission at no charge to you. Thanks for supporting independent Canadian media!

Subscribe
Notify of
guest
25 Comments
Oldest
Newest Most Voted
Inline Feedbacks
View all comments
It's Me
It's Me
1 year ago

Any reason to think the US tariffs on China would make iPhones more expensive in Canada and in CAD? As long as the phones are imported into Canada from China, why would US tariffs on Chinese imports to the US apply?

Would be interesting to see iPhones cost less in CAD than in USD.

abrasumente
abrasumente
Reply to  It's Me
1 year ago

No- this is silly. Apple ships phones from china to Canada. Even if they didn’t, they would start to to save their customers money.

This is a piece meant to generate angry comments

It's Me
It's Me
Reply to  abrasumente
1 year ago

I think this article would more correctly say “iPhone Prices Could Top $3,200 CAD if U.S. Tariffs Stick, if Canadians drive down and buy them in the US: Analysts”

But, to be honest, I don’t know with certainty that Apple Canada doesn’t “import” them from Apple USA, or somehow otherwise gets impacted by US tariffs on China.

😄😆
😄😆
Reply to  abrasumente
1 year ago

You are "silly" like those who believe the earth is flat and Trump supporters who believe there will be long-term financial gain with Trump's tariffs.

😄😆
😄😆
Reply to  It's Me
1 year ago

5 half-wits (so far) with an IQ of less than 50 agree with a gaslighter, contrarian, antagonist, instigator, and IPiC resident troll. Reminds me of Facebook and Reddit.

Dany Quirion
Dany Quirion
1 year ago

How can they apply tariffs? It ships directly to Canada from China.

😄😆
😄😆
Reply to  Dany Quirion
1 year ago

Easy, Maybe ask AI how and become educated.

Dany Quirion
Dany Quirion
Reply to  😄😆
1 year ago

Troll

TWNT7
TWNT7
1 year ago

Why are Canadians likely to buy iPhones at all, isn't there a broad boycott of US products?

pg_72
pg_72
Reply to  TWNT7
1 year ago

Is there a Canadian smartphone manufacturer? This could be a boon for BlackBerry, if they hadn't self destructed years ago.

😄😆
😄😆
Reply to  pg_72
1 year ago

What a moronic statement but expected from someone with an IQ of less than 50.

Canada isn't imposing tariffs on US phones or Chinese/Korean made phones.

pg_72
pg_72
Reply to  😄😆
1 year ago

Nobody said anything about tariffs on ANY phones…the comment was about boycotting US products…but sure, I made the moronic statement. Idiot.

It's Me
It's Me
Reply to  pg_72
1 year ago

I think our emoji monkey is having a stroke. His posts seem to be just angry, nonsensical bashing on his keyboard.

So Young
So Young
1 year ago

Will Samsung be affected with tariffs ? Because if not, a lot of people will switch. If I wasn't upgraded last september, I'd strongly consider switching myself.

It's Me
It's Me
Reply to  So Young
1 year ago

Likely no more and no less than Samsung.

mcfilmmakers
mcfilmmakers
Reply to  So Young
1 year ago

By, not with

Oak Ridge
Oak Ridge
1 year ago

While Apple does price their phones internationally based on the prices in the US (based on what price the markets will bear), this will be resulting directly from US tariffs that will seriously impact their sales. They would not want to kill their sales in other markets just for the sake of keeping price parity.

😄😆
😄😆
Reply to  Oak Ridge
1 year ago

No. Apple has its loyal base. They will take out a loan or as the carriers are doing now, financing/leasing/renting their iphones. And if Apple prices will spike, so will other smartphones since they mirror each other. Suffice to say, unless the tyrant dies before his term ends, things aren't going to change for the better at least for another four years.

db
db
Reply to  Oak Ridge
1 year ago

I got to wonder if the tariffs go through, if American citizens won't be coming to Canada to buy their iphones.

😄😆
😄😆
1 year ago

While the amount of increase is an exaggeration, make no mistake. iPhones for the next 4 years will cost a LOT more. That's ok, because the privileged and ultra-privileged will continue to buy.

Riley Freeman
Riley Freeman
1 year ago

If the iPhone is being shipped from china directly Canada, shouldn’t these tariffs not impact us? This seems like a problem for US customers only. Let me know if I’m wrong

WalterA
WalterA
Reply to  Riley Freeman
1 year ago

US tariffs will definitely affect Canadian prices. Apple and other companies will make Canadian prices similar to US prices for simplicity and prevent gray market phones in US. Canadians (and other countries) will have higher prices to subsidize lower US price increases.

Riley Freeman
Riley Freeman
Reply to  WalterA
1 year ago

That doesn’t make sense for Apple. The grey market scenario you mention helps keep the iPhone sat the same price for Apple. Which would keep sales where they are. Increasing the price everywhere even though it doesn’t impact that market hurts their sales.

WalterA
WalterA
Reply to  Riley Freeman
1 year ago

US is Apple’s largest market. So, for example instead of an $800 increase in the US, they spread it out as $100 increase globally.

WalterA
WalterA
1 year ago

US tariffs will definitely affect Canadian prices. Apple and other companies will make Canadian prices similar to US prices for simplicity. This will reduce price increases in the US due to their own tariff. Canadians will be subsidizing Americans.

25
0
Would love your thoughts, please comment.x
()
x