Expected New Prices of iPhone 16 Series After Latest US Tariff
President Donald Trump announced the latest wave of US tariffs on Chinese imports, which has sent shockwaves through global tech markets. Among the most brutal hits is Apple Inc., whose flagship iPhone 16 series is primarily manufactured in China. With China now facing a 245% tariff on imports to the United States, consumers worldwide, especially in major markets like the United States, Europe, China, and Pakistan, may see a substantial increase in iPhone prices.
This article will explore the expected price hikes for different iPhone 16 models and how these price hikes could reshape the smartphone market.
What Triggered the Price Surge?
As part of a broader trade policy strategy, President Trump has imposed reciprocal tariffs on over 180 countries, with China facing the most significant penalty of 245%. This move aims to push American companies to manufacture domestically or in allied nations. However, for Apple, which still relies heavily on Chinese manufacturing and imported raw materials, this translates into increased production costs and difficult decisions.
iPhone Production Cost Hike
According to TechInsights analyst Wayne Lam, the new tariffs are expected to raise the production cost of an iPhone from $580 to $850. With these additional costs, Apple is unlikely to absorb the burden, meaning price hikes for consumers are almost certain.
Projected Price Increases for iPhone 16 Series
Here are the expected new prices for various iPhone 16 models based on a projected 43% price hike due to the tariffs:
- iPhone 16 (Base Model)
- Current Price: $799
- Expected New Price: $1,142
- iPhone 16 Pro Max 1TB
- Current Price: $1,599
- Expected New Price: $2,300
- iPhone 16 Pro (256GB)
- Current Price: $1,100
- Expected New Price: Up to $3,500 (as per some analyst predictions)
- iPhone 16e (Entry-level Model)
- Current Price: $599
- Expected New Price: $856
These figures highlight how tariffs on Chinese imports could drastically inflate prices.
Impact on Global Markets and Consumers
Apple’s shares plunged by 9.3% following the tariff announcement, its sharpest drop since March 2020, indicating investor anxiety over shrinking consumer demand. Rising prices and existing inflationary pressures could reduce sales volumes, especially in price-sensitive markets.
Furthermore, the supply chain disruption caused by these tariffs might also affect other Apple products, including iPads, MacBooks, and accessories.
Current iPhone 16 Prices in Pakistan (April 2025)
The following are the official iPhone 16 series prices in Pakistan before the tariff hike takes full effect:
- iPhone 16 Pro Max 1TB – Rs. 715,499
- iPhone 16 Pro 1TB – Rs. 674,499
- iPhone 16 Pro Max 512GB – Rs. 634,499
- iPhone 16 Pro 512GB – Rs. 593,499
- iPhone 16 Pro Max – Rs. 554,499
- iPhone 16 Pro 256GB – Rs. 511,499
- iPhone 16 Pro – Rs. 472,499
- iPhone 16 Plus 256GB – Rs. 459,499
These prices will rise significantly if Apple passes on the consumer tariff costs.
Can Apple Relocate Its Manufacturing?
While Apple has explored options like moving manufacturing to India or Vietnam, experts argue that a full-scale transition is not feasible in the short term. Moreover, raw materials used in iPhone production are still globally sourced, making complete domestic manufacturing in the US a costlier alternative.
A Tough Road Ahead for iPhone Buyers
With the iPhone 16 series price hike looming large due to Trump’s new tariffs, Apple users around the globe may soon face a difficult decision: upgrade at a higher price or stick with older models. So far, no exemptions have been granted, and with the possibility of further escalation in the US-China trade war, iPhone buyers and investors are watching closely.
These price hikes also open up opportunities for competitors offering more affordable alternatives. Meanwhile, Apple may need to fast-track its plans for diversifying its manufacturing to avoid long-term disruption. How the company responds in the coming months will play a crucial role in shaping its global market share.
Stay tuned to TechBazaar blog for more fresh updates, insights, and expert analysis on Apple, smartphones, and global tech trends.
