The new devices are still expected to be made in Apple’s manufacturing hubs in China and India, much to the Trump administration’s consternation.
WASHINGTON — Apple has introduced its latest iPhones 17 series, alongside new updates to its digital watches and AirPod products at its annual September product launch event.
The new iPhones mark the first release since President Donald Trump’s return to the White House, where he has instigated a series of tariffs aimed at reshoring manufacturing to the U.S. — an initiative that has placed Apple CEO Tim Cook under scrutiny.
The new gadgets boast a 6.3-inch display and are powered by the new A19 chip, which enhances Apple’s AI capabilities. The iPhone 17’s front camera has been enhanced to include a wider field of view and a new sensor, facilitating landscape photography without needing to rotate the phone.
The new devices are still expected to be made in Apple’s manufacturing hubs in China and India, much to the Trump administration’s consternation.
Both Trump and U.S. Commerce Secretary Howard Lutnick have consistently urged that iPhones be manufactured within the U.S. instead of abroad. Analysts argue this demand is impractical and would take years to implement, potentially increasing the iPhone’s price two- to three-fold from its current average of about $1,000.
Cook sought to appease Trump by initially promising that Apple would invest $500 billion in the U.S. over the following four years, and then increased the pledge by another $100 billion last month. He also presented Trump with a statue with a 24-karat gold base.
This diplomatic approach has shielded Apple from the harshest of Trump’s tariffs. Nevertheless, iPhones imported to the U.S. remain subject to duties of around 25%, sparking speculation that the company may introduce its first comprehensive price hike in five years to maintain its significant profit margins.
Since 2020, Apple has charged $800 for its basic iPhone and $1,200 for its top offering, but analysts now believe the company may raise prices by $50 to $100 on some of the new models. If Apple does announce price increases, it will come just weeks after Google held steady on prices for its new Pixel smartphones.
Although Apple’s stock price is still down by 4% so far this year, the shares have been bouncing back in recent months amid signs it won’t be as hard hit by the tariffs as once feared, and a highly anticipated court ruling cleared the way for the company to continue receiving $20 billion annually to lock in Google’s search engine as the default option on iPhones.
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