Apple may raise iPhone prices this September-December

Apple is reportedly planning to raise prices for its upcoming iPhone models, set to launch this fall, which typically spans from September to December.

The information comes from anonymous supply chain sources, though the company has not confirmed if US-China trade tariffs are influencing the potential hikes.

While the US and China have agreed to pause new tariffs for 90 days, a 20% tariff on Chinese goods remains. This could affect tech products like smartphones and laptops.

To help offset these costs, Apple has reportedly moved some production out of China.

Alongside the price increase, Apple is expected to unveil an ultra-thin iPhone later this year.

🔗 Source: TechCrunch

🧠 Food for thought

1️⃣ Apple’s price increase follows historical premium pricing strategy that has proven successful

Apple’s upward pricing trajectory isn’t new, as the company has consistently moved prices higher while maintaining strong sales. The iPhone XS Max reached €1,650 in 2018, triple the price of the cheapest available model that year1.

This approach has succeeded because iPhone consumers have become demonstrably less price-sensitive over time. Analysis of historical sales data shows decreasing demand elasticity, indicating Apple can raise prices without significantly impacting sales volume2.

Apple typically balances premium pricing with strategic affordability, such as introducing the iPhone 11 at Dh230 less than its predecessor in 2019 to demonstrate this flexibility3.

The company has maintained this dual approach of high-end and mid-range products, positioning its premium devices as luxury items while offering more affordable alternatives to expand market reach4.

2️⃣ Recent tariff exemptions provide critical context for Apple’s pricing strategy

The Trump administration’s April 2025 exemption of smartphones and computers from new reciprocal tariffs dramatically changed Apple’s operating environment5.

Without this exemption, Apple potentially faced substantial cost increases, as tech industry analysis projected price hikes of 11% to 70% across various tech categories due to the initial tariff plan6.

Apple’s reported shift of production to India and Vietnam represents a proactive strategy to reduce dependence on Chinese manufacturing and mitigate future tariff risks7.