There isn't just one thing deciding how much you'll pay for the new iPhone when it's released this fall. No, there are many, many reasons you'll likely pay a higher price for the rumored iPhone 17.
After a long, dizzying past few months of President Donald Trump raising, lowering and pausing tariffs on various countries, he announced this week that he'd made a deal with China, setting the effective tariff rate to 55%. He also mentioned Wednesday that he'd be open to extending the July 8 deadline for trade deals with other countries, which are currently subject to a baseline 10% "reciprocal tariff."
Apple initially avoided tariffs by stockpiling early and making its way onto an exemption list. However, it ended up incurring Trump's wrath for suggesting US iPhone manufacturing could move from China to India, and the tech giant now faces a potential 25% tariff for any smartphones produced outside the US (that's the majority of smartphones).
If a new iPhone does get hit with a tariff, you should expect Apple -- and other smartphone manufacturers -- to pass along most of that cost to you, say experts.
"The president's tariff would really basically just be a sales tax that would be tacked on to the cost of a new smartphone," said Timothy Meyer, Richard Allen/Cravath distinguished professor in international business law, Duke University School of Law. "And the companies will probably be able to pass through most of that cost to consumers."
Tariffs aside, there are other reasons an iPhone 17 could cost more, like production costs and the health of the US economy. My colleague Patrick Holland, who's been reviewing phones for CNET since 2016, says the new iPhone is due for a price hike anyway. If rumors about the iPhone 17 Air are true, its additional features could potentially justify a higher price.
Apple did not respond to a request for comment for an earlier version of this story.
We've rounded up all the leaks, rumors and predictions about prices for the new iPhone, but Apple won't reveal the exact price until its release, expected in September. For now, here's what we know about the price tag for the rumored iPhone 17.
Read more: Thinking About Buying a New iPhone? Here's Why You Should Wait
Watch this: Should You Buy Now or Wait? Our Experts Weigh In on Tariffs 09:42
... continue reading