The Donald Trump administration has introduced a new 10 percent tax on the import of smartphones, fitness trackers, smart speakers and Bluetooth headphones since September 1. For most of the equipment (smartphones, laptops) it will be delayed until December 15, but the "essentials" will rise in price next month.
Most Apple hardware and accessories are made in China, namely HomePod, AirPods and Apple Watch, which are subject to a new tax. Last year, the company managed to “push aside” new taxes: it sent a letter to the government with such a request.
It is difficult to understand how tariffs that are detrimental to US companies and US consumers will advance the government’s goals regarding China’s technology policy.
Letter to the american government
Now, judging by the latest earnings report, it is the headphones, watches and services that make the company a huge profit, not the iPhone, as it was almost always. We already wrote that within a few years Apple will be able to transfer production to other countries and we will not see new prices for devices, but not so soon.
Therefore, in September you can expect a rise in price by 10%.
How much will the new devices cost:
Apple Watch Series 4: $ 399/429 -> $ 439/472;
AirPods 2 with wireless charging: $ 199 -> $ 219;
HomePod: $ 299 -> $ 329
We hope that the price increase will not happen and soon Apple will establish production outside of China. So we believe, hope, do not expect price increases!
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