Following the announcement of extensive tariffs by the Trump administration, Apple faces potential price increases on its products. Bloomberg’s Mark Gurman suggests several strategies Apple might adopt to soften the blow. These include negotiating better prices with component makers, absorbing some costs internally due to its high profit margins, implementing short-term price adjustments, and further diversifying its supply chain, though not necessarily moving manufacturing to the US. Additionally, Apple has been stockpiling inventory in the US to avoid tariff impacts on pre-existing stock. While price hikes remain a possibility, Apple aims to minimize consumer impact and may seek exemptions or negotiate trade deals with affected countries.
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