The price of iPhone in retail will grow by about 20% from the current rates in case of relocation of production in the United States, estimated by analysts at Bank of America. Because of the peculiarities of local taxation in Europe and Russia, these figures may turn into 30 – and even 40% mark-up.
Most of the money, which analysts at Bank of America add on to retail price of iPhone will go on compensation for the costs of labor. As you know, in the US, even manual labor is estimated much higher than in China, forcing the producer to pay workers several times more than the former.
American iPhone to be
The likelihood that Apple will move production of the iPhone in the U.S., is constantly growing. As the introduction of new duties for the import equipment and components from China, the company is becoming less profitable to assemble their products there than to launch an Assembly line in the United States and receive tax benefits.
The price increase on Apple equipment
Earlier this month, Apple announced that can go on increasing the prices of branded equipment in the case of the introduction of another import duty. It would increase the cost of the Mac Mini, Apple Watch, Apple Pencil styluses, chargers, cables, adapters and some parts for Mac.