Time may run out of time before buying an iPhone, and then increase the price

Although the “reciprocity tariffs” are temporarily alleviated, iPhones may see a decrease in inventory before prices rise. However, there are other options that can help you save on electronics.

Earlier this month, President Donald Trump raised tariffs to 145% from Chinese goods, and Apple made most of the products. However, he eventually exempted “reciprocal tariffs” from smartphones and some other electronics, leaving behind a 20% “fentanyl tariff”. White House officials say the probation on additional tariffs is temporary.

Regardless of the final tariff amount, you should expect to pay more for your next iPhone. If Apple has handed over all 145% of China tariffs to customers, the iPhone 16 Pro Max storage space will increase from $1,599 to more than $3,900. With a 20% tariff, the same iPhone could increase to over $1,900.

Experts say electronic prices may start to rise after companies sell current consumables (shipped before tariffs, higher-priced equipment) start to arrive.

“Whether it’s a U.S. company, the best-equipped company in the U.S., whether it’s a U.S. company can get two to three weeks of inventory at best,” said Ryan Reith, group vice president of IDC’s global equipment tracking suite.

Apple may have greater reserves. Its largest supplier in India ran nearly $2 billion in iPhones in March, according to customs data reviewed by Reuters last week. The tech giant ordered airfreight of mobile phones, so they won’t arrive until Trump’s tariffs are expected to begin.

While stocking up iPhones may help suppliers, you have nothing to gain by hoarding old iPhones or other electronics. A new CNET survey shows that 31% of us adults hang on old devices because they don’t know what to do. Trading or selling old equipment can help offset the price of newer versions.

Although experts do not expect an increase in tariffs of 1 to 1 with goods from China and other countries, you should expect an increase. If you buy a new Apple device or imported gaming system on the market, such as the Nintendo Switch 2 or PlayStation 5 Pro, that’s how tariffs can raise prices and what you should prepare for.

How much can the tariffs on iPhone prices increase? We do math

If the full cost of the tariff is passed to shoppers, we can see prices for Apple products produced in China from 20% to 145% in the coming months. Apple has moved some of its production to other countries, but most iPhones are still made in China.

Here is how Trump’s current “fentanyl tariff” may affect the cost of the iPhone:

However, iPhones are much more expensive than just where they are made. Apple’s products come from a wide range of countries that may face higher tariffs after a pause. Tariffs on goods do not necessarily mean that prices will rise by the same amount. If companies want to stay competitive, they can absorb some costs to keep prices down.

“In terms of tariffs, it won’t be as high as 1-to-1,” Rees said. “Mathematics is not as clear as tariffs.”

When can we see prices rise?

It is not clear when prices will rise, but if the equipment sold by companies before the tariff is sold, they may have to increase the price of the product in the tariff goods. But, according to supply chain expert Joe Hudicka, Apple can offset the impact of tariffs through its services, including music, news and data plans.

“Apple will likely absorb some tariff costs ahead of time to keep sticker prices stable, and then gradually pass on its remaining price to consumers through service bundles, equipment life and ecosystem upgrades,” he said. “Consumers will still pay, just once.”

Apple has also begun moving some of its manufacturing industries to other countries, including India and Vietnam. The countries were initially hit by their own “reciprocal tariffs” – Vietnam crossed a 46% rate hike, while India grew 26% but was released. However, they still face a 10% benchmark tariff that will take effect this month.

It is unclear how much the exact tariffs will actually have on prices. If prices rise lead to a plunge in demand, experts say Apple and other producers can reduce Their prices remain competitive.

Will other technical products still see prices rising?

Smartphones are not the only devices that expect price increases due to tariffs. Best Buy and Target warned consumers last month that everything will be higher after the latest round of tariffs take effect. The tariff rate hike in February has prompted Acer to announce that it is raising the price of laptops. High-tech brand Anker has recently started raising prices to cope with tariffs.

Apple announced last month that it had cut $100 on its new MacBook Air last month, the day after the final round of tariffs came into effect. In an attempt to convince Trump to “exempt” the latest tariffs, Apple announced in February that it would expand its manufacturing operations in the U.S. in the next four years.

However, regardless of the exact quantity, it is expected that China and other countries will convert tariffs on goods to higher prices for consumers. This means that the technologies you use every day, such as imported smartphones, laptops, TVs and kitchen utensils, may become more expensive this year.

Watch the following: Buy or wait guide: How the tariffs will change technical prices and what to do next

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What’s wrong with the tariffs?

Trump announced a 10% benchmark tariff on all imported goods and on April 2, which he called “liberation day.” He has long touted tariffs, even if the trade deficits and increased revenues to offset tax cuts, although many economists say tariffs could lead to higher prices and could ultimately harm the U.S. economy. Shares plummeted after Trump announced the news as the market was less responsive to the widespread tariffs.

Trump has taken a particularly firm stance on China, which has been subject to tariffs ordered by Trump in his first term in office. He began in February with a 20% tariff and then announced a 34% tariff on Chinese goods earlier this month. He increased the tariff by 50%, and then eventually landed on the 145% tariff on China. After each of Trump’s announcements, China responded with its own tariffs.

The U.S. Customs and Border Protection lists some key consumer electronics products that do not accept reciprocity tariffs this month, but the Trump administration says these products will be subject to “semiconductor tariffs.”

In theory, tariffs are intended to affect other countries financially because their goods are being taxed. The tariffs are paid for importing products from U.S. companies, and this UpCharge usually (but not always) transfers it to consumers at a higher price.

Should you buy technology now to avoid tariffs later?

If you are planning to buy a new iPhone, gaming console, MacBook or other technology, then buying it can save you money.

But if you don’t have cash on hand and need to use a credit card or buy it right away, pay later to avoid tariffs, experts say to make sure you have the money to pay before you can start generating interest. With the average interest rate on your credit card currently exceeding 20%, the cost of large purchase financing can quickly eliminate any savings you buy before the price rises due to tariffs.

“If you fund this fee on a credit card and cannot be fully paid in one to two months, you may end up spending more,” said Alaina Fingal, an accountant, founder of Organized Currency and a member of the CNET Currency Review Board. “I recommend you stop at any large purchases until the economy is more stable.”

Even if prices rise, one way to save on Apple products is to buy last year’s model instead of the latest or used one. Those who trade or sell second-hand can help offset the cost more.

“Apple tends toward this situation with a certified renovation program, just like the used car model in the automotive industry,” Hudicaka said. “The program helps extend the life of the device, allowing customers in the Apple ecosystem to spend longer while distributing costs over time.”