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Trump Tarriffs Could Make Apple Watches More Expensive

It looks like even Apple isn't safe from Trump's trade war.

Credit: Tom's Guide

(Image credit: Tom's Guide)

U.S. Customs and Border Patrol officials have determined that the Apple Watch falls under a "data transmission machines" category that is cited in more than 6,000 of Trump's most recent round of proposed tariffs, Reuters reports. Fitbit's Charge, Charge HR and Surge; and Sonos' Play:3, Play:5 and SUB speakers, also fall under the classification. 

If the tariffs pass this fall, these products could face a 10 percent tariff. That could lead to as much as a $32 price increase from the Apple Watch Series 3's $329 price tag. 

That doesn't necessarily mean this will happen. Currently, the list is still in a public comment period, and the companies have time to advocate that their products be removed from the proposed list, or that their products be classified differently. It's also not clear how much of the tax would be passed on to consumers. 

Clearly, some companies were prepared for this outcome. In a filing to become a public company earlier this month, Sonos said that “the imposition of tariffs and other trade barriers, as well as retaliatory trade measures, could require us to raise the prices of our products and harm our sales.”

That said, the inclusion of Apple's products in these regulatory filings may be a surprise to the company. Apple CEO Tim Cook said in an interview in June that he didn't think the iPhone would receive a tariff, and has encouraged the President not to impose tariffs. 

We've reached out to Apple for comment and will update this story if we get a response. 

Monica Chin is a writer at The Verge, covering computers. Previously, she was a staff writer for Tom's Guide, covering artificial intelligence and the internet of things. You can usually find her at poetry slams, attempting to exercise, or yelling at people on Twitter.

  • seomarketer
    Wouldn't it be sad if Apple had to give up a little profit and move jobs back to the United States? Oh, wait. That would be a good thing. :)