President Donald Trump announced he has made a deal with China, which could potentially affect the cost of a new iPhone — but maybe not as much as you think.

«WE ARE GETTING A TOTAL OF 55% TARIFFS, CHINA IS GETTING 10%,» Trump said in a post on Truth Social, noting that he and China’s president, Xi Jinping, still need to give their final approval for the deal.

However, 55% «total» tariff incorporates 30% the countries agreed to in May (10% «reciprocal tariff» + 20% «fentanyl tariff«) and approximately 25% from tariffs that Trump imposed on China during his first term, according to a White House official.

Although 55% is substantially less than the original 145% tariff against China Trump originally put in place, it’s still likely to result in higher prices for many items, said Michael Coon, associate professor of economics at the University of Tampa. And the new tariff deal doesn’t take into account the 25% smartphone tariff Trump announced shortly after Apple said it was moving production of US iPhones to India.

«I would suspect that the 25% smartphone tariff would be added on top of the existing tariffs in China,» he said. «I think the smartphone tariff is more reaction to India — Apple’s announcement that they were going to ship most of their production to India.»

Apple didn’t mention tariffs during its Worldwide Developers Conference this week, but with the rumored iPhone 17 due for a price hike — regardless of tariffs — is now the time to buy a new iPhone?

Read more: Thinking About Buying a New iPhone? Here’s Why You Should Wait

How much could tariffs raise iPhone prices? We do the math

Companies don’t always pass the full tariff onto customers in the form of higher prices, but they can. Even if Apple could absorb some of the costs, you should expect to see significant price jumps if tariffs take effect.

«They’re still going to probably pass 80% to 90% onto consumers, if they can,» Coon said. «Unless they wanted to do some sort of marketing ploy out of it, which I don’t suspect they would want to do, because that would be directly going up against the administration.»

Based on the current tariff rate, iPhones manufactured in China are already subject to a 25% tariff (from Trump’s first term), but could now get an additional 30% tariff. Goods from India currently have a 10%  baseline tariff but that could potentially soar to 26% next month. Here’s how the current tariffs and potential 25% Apple tariff could affect the price of the iPhone. These figures are based on our estimates and not confirmed by Apple:

Based on Coon’s estimates that Apple could pass along up to 90% of the tariff cost to customers, that could raise the price of a new iPhone 16 Pro Max (1 TB) assembled in China to $2,230.

«Estimates say it would cost $3,500 to produce an iPhone in the US. So, it would still be cheaper to produce in China,» Coon said.

There’s a lot more that goes into the price of an iPhone than simply where it’s assembled. Apple sources components for its products from a long list of countries, which could face higher tariffs after the pause. And a tariff on goods doesn’t necessarily mean prices will increase by the same amount. If companies want to stay competitive, they could absorb some of the costs to keep their prices lower. 

Apple did not respond to a request for comment.

When could we see iPhone prices increase?

It’s unclear exactly when prices could go up, but if companies sell out of devices produced before the tariffs, they may have to increase prices on products in tariffed shipments. 

However, even if Apple can’t avoid tariffs entirely, it has ways to offset the impact through its services — including its music, news and data plans — according to supply chain expert Joe Hudicka.

«Apple will likely absorb some of the tariff costs up front to keep sticker prices stable, then pass the rest on to consumers gradually through service bundles, device longevity and ecosystem upgrades,» he said. «Consumers will still pay, just not all at once.»

And regardless of how the tariff drama plays out, the Wall Street Journal reports that Apple plans to raise iPhone prices later this year. So expect prices to go up soon.

Is it better to buy an iPhone and other tech now or wait? 

If you already planned to buy a new smartphone, buying it now might save you money. But if you don’t need a new phone immediately, you might want to wait, said CNET Managing Editor Patrick Holland, who’s been reviewing phones for CNET since 2016.

«If iPhone prices rise, know that, like cars, the prices for used iPhones will likely rise, too,» he said. «If Apple does raise its prices, you’ll likely get more for your old iPhone when you trade it in, and that should offset any increased prices.»  

If you don’t have the cash on hand and are considering using a credit card or buy now, pay later plan just to avoid tariffs, make sure you have the money to cover the costs before you start accruing interest. With credit cards’ average interest rates currently more than 20%, the cost of financing a big purchase could quickly wipe out any savings you’d get by buying before prices go up because of tariffs.

«If you finance this expense on a credit card and can’t pay it off in full in one to two months, you’ll likely end up paying way more than a tariff would cost you,» said Alaina Fingal, an accountant, founder of The Organized Money and a CNET Money Expert Review Board member. «I would recommend that you pause on any big purchases until the economy is more stable.» 

One way to save on Apple products, even if prices go up, is to buy last year’s model instead of the newest release or a used one. And trading or selling a used one can help offset the cost even more.

«Apple has leaned into that with its Certified Refurbished program, much like the auto industry’s used car model,» Hudicka said. «This program helps extend the lifespan of devices, keeping customers in the Apple ecosystem longer while distributing the cost impact over time.»