Apple CEO Tim Cook denies tariffs drove iPhone 17 price hike

Apple CEO Tim Cook

Apple CEO Tim Cook has dismissed suggestions that the company’s latest iPhone price increases are linked to U.S. President Donald Trump’s sweeping tariff policies. Speaking to CNBC at Apple’s flagship Fifth Avenue store in New York, Cook stressed: “There’s no increase for tariffs in the prices to be totally clear.”

Apple recently raised the price of its iPhone 17 Pro by $100, while keeping the entry-level models unchanged. In India, the price of the iPhone 17 has gone up by Rs 3,000 compared to the iPhone 16. The new iPhone 17 Air — replacing the Plus — also comes at a steeper price. Analysts had long expected Apple to adjust pricing, regardless of tariffs.

To offset potential levies, Apple has diversified production beyond China, sourcing more devices from India and Vietnam. The company, which once relied heavily on Chinese factories, is investing at least $600 billion in U.S. manufacturing and supplier support. Despite these efforts, Cook acknowledged Apple absorbed an $800 million tariff-related hit in the June quarter.

Cook’s rare direct comments on tariffs come as Apple maintains a delicate relationship with Washington. He has appeared alongside Trump on multiple occasions, highlighting Apple’s manufacturing commitments while steering clear of overt political entanglements.

Beyond pricing, Apple faces scrutiny over its slower public rollout of artificial intelligence compared to rivals. Cook defended the company’s approach, noting: “We have AI everywhere in the phone. We just don’t call it that.”