As Trump’s tariffs are set to take effect on Wednesday, Apple is rapidly accumulating iPhone stock in the United States. A recent article from The Times of India indicates that part of Apple’s approach to mitigate the effects of these tariffs involves hoarding substantial inventory within the United States…
Senior officials from India noted in the report that Apple transported five planes loaded with iPhones and other products from India and China “in just three days during the last week of March.”
“Manufacturing facilities in India, China, and other crucial areas had begun sending products to the US in preparation for the increased tariffs,” according to a source who spoke with The Times of India.
Apple is currently producing all iPhone 15 and iPhone 16 models in both India and China. A 10% baseline tariff on all imports to the United States was implemented on Saturday. Effective April 9, the tariffs that Trump has incorrectly referred to as “reciprocal” will be enforced, increasing the tariff rate on imports from China to 54% and from India to 27%.
By accumulating as much inventory as possible in the US, Apple can postpone the effects of the tariffs. It remains unclear just how much inventory Apple currently possesses in the U.S., but one thing is for certain: Tim Cook’s supply chain expertise should never be underestimated.
If Apple can successfully stockpile enough iPhone inventory in the U.S. for the foreseeable future, it may prevent the need to raise iPhone prices until the iPhone 17 launch this fall. However, other products may not be as fortunate. For instance, most custom-configured Macs are shipped directly from Apple’s factories in China to customers in the United States.
AAPL stock has dropped nearly 5% today and 18% over the past five days due to the implications of Trump’s tariffs.
As I was writing this article, Trump took to social media to threaten an additional 50% tariff starting Wednesday on imports from China unless the country rescinds its 34% retaliatory tariff. This would increase the total tariff on Chinese imports to an astonishing 104%. It’s hard to believe.
As I mentioned last week, I’ll say it again: if you require an Apple product or think you might need one soon, make your purchase now.
My top iPhone accessories:
