President Trump’s new tariffs could hit U.S. companies hard. Apple may be one of the most affected. The company makes most of its products in China. That puts it right in the middle of the new trade conflict.
Apple Faces Big Trouble from Trump’s New Tariffs
Trump recently announced a 125% tariff on all goods coming from China. For now, he has reduced that to 10% for 90 days. But this is only temporary. After that, the full rate may return, and companies are worried.
During an event called “Liberation Day,” a reporter asked Trump if some companies might get exemptions. His answer was unclear. He said there might be exemptions for businesses that are “hit harder.” He didn’t name any companies. But Apple clearly fits that description.
The Wall Street Journal ran some numbers. They found the cost of making the iPhone 16 Pro could rise by $300. That’s a huge increase. Apple might pass those costs on to customers. Or, the company might have to accept lower profits. Neither is a good option.
The problem is, nothing is certain right now. Trump has changed his mind many times on trade issues. He even said he’ll decide on exemptions based on his “instinct.” That doesn’t offer much comfort to large companies trying to plan ahead.
Apple isn’t sitting still. The company is already stockpiling products to reduce the short-term damage. It’s also looking at other places to manufacture its devices. One option is Brazil, where tariffs are much lower.
It’s clear that Apple is preparing for a tough road ahead. The company is trying to adjust quickly. Still, the trade war between the U.S. and China continues to create major risks. Apple—and many others—are caught in the middle.
So, for now, everything is uncertain. Will the tariffs stay at 10%? Will Apple get an exemption? No one knows for sure. What we do know is that big changes are coming. And companies like Apple are doing all they can to stay ahead of them.
