If the recently announced 145 percent U.S. tariffs on Chinese imports remain in place for more than a few weeks, consumers could feel the impact directly — especially through higher prices on electronics, including iPhones. That's the view from Wedbush Securities, which said Apple (AAPL, Financial) may have to raise prices significantly if no carve-outs are granted.
In a note to clients, Wedbush analysts said ongoing negotiations between the U.S. and China, and the potential for tech giants like Apple, Amazon, Nvidia, and Tesla to receive exemptions, will be critical. But if the tariffs hold, Apple may be forced to price iPhones above $2,000 to offset the added costs.
The firm also pointed to China's leverage in this standoff. Despite Apple's recent efforts to shift some manufacturing to countries like India, Vietnam, and Brazil, a large portion of its production is still based in China — including around half of all iPhones, more than 50 percent of Macs, and up to 80 percent of iPads.
Wedbush called Apple “at the center of this storm” and emphasized that the outcome of trade negotiations could have meaningful consequences for both the tech sector and everyday consumers.
