Summary: Apple is taking significant measures to avoid the financial impact of tariffs imposed by Donald Trump. The company recently shipped thousands of iPhones into the U.S. before these tariffs came into effect, signaling its desire to mitigate potential losses. Just a few months ago, Tim Cook, Apple’s CEO, made headlines by donating a million dollars to Donald Trump’s inauguration fund.

However, the recent tariffs that Trump introduced could pose serious challenges for the company. Effective April 9th, these tariffs are set to increase the costs of importing foreign goods, including Apple’s flagship product, the iPhone. With manufacturing sites based in China and India, Apple faces a staggering 104% tariff on iPhones, putting the company in a difficult position.

It now has to decide whether to absorb the financial loss, which could negatively impact its stock prices and profit margins, or pass on these additional costs to consumers. Raising prices may deter potential buyers, leading to a similar adverse effect on sales and profitability. In a bid to counter these tariffs, Apple has taken proactive measures by flying multiple planes loaded with iPhones to the U.S.

This strategic move allows the company to delay implementing any price increases for the time being. However, the company could not secure an exemption from the tariffs, leaving it with limited options. Manufacturing iPhones domestically could also take years and come with significant expenses.

While Apple is currently managing its inventory, there’s uncertainty surrounding how long this supply will last amid surging consumer demand. As the company prepares to launch the iPhone 17, it will soon have to reveal whether prices will indeed rise due to the imposed tariffs.