Apple anticipates nearly $1B in additional costs related to Trump’s tariffs

Apple has unveiled its results for the first quarter of 2025, with iPhone sales just reaching the forecast $46 billion.

Apple CEO Tim Cook said that planned US tariffs on foreign imports will add $900 million in costs in the current period

— Bloomberg News (@bloomberg.com) 2025-05-01T21:35:24Z

Apple sales generated more than $95 billion in revenue in the first quarter of 2025, slightly exceeding forecasts of just over $94 billion.

However, some indicators are already revealing strains, including a billion-dollar drop in sales in China below projections.

According to Forbes, Apple’s first-quarter sales in the greater China region, currently at the center of a major tariff dispute with the U.S., came in below expectations.

While projections were for $17 billion, sales came in at just $16 billion.

CEO Tim Cook predicts a difficult second quarter due to the tariffs introduced by the Trump administration, which the company believes would result in additional costs estimated at $900 million.

If the trade conflict with China were to drag on, Apple would inevitably suffer the consequences, with China accounting for 17% of its revenues in 2024.

What’s more, beyond the impact on sales, the majority of iPhones are assembled in this country, which accentuates the company’s vulnerability.

This content was created with the help of AI.