US President Donald Trump announced that they would impose a 100% tariff in response to China’s restrictions on rare earth metal exports. This decision resonated strongly in the global technology market.

In his statement, Trump stated, “We will protect American manufacturing. China cannot use its control of technology as a weapon.” These words serve as a serious warning to tech giants manufacturing in China, especially Apple.

The Impact of Rare Earth Metals on Apple

Many parts of the iPhone, from speakers and vibration motors to camera lenses and magnetic sensors, contain rare earth metals. Approximately 80% of these metals are produced in China. Therefore, this country’s export restrictions could directly impact Apple’s supply chain.

If the Trump administration’s 100% tariff decision goes into effect, the cost of importing every iPhone manufactured in China into the US will double. This leaves Apple with few options: reduce its profit margin, which Apple generally avoids, and increase iPhone prices.

Analysts predict that the implementation of such a tax could lead to a 10% to 20% increase in iPhone prices. The impact of this increase won’t be limited to the US, as Apple is trying to balance its prices globally.

Therefore, a price hike in Turkey may also be inevitable. Combined with exchange rates, import duties, and distributor costs, this difference could be felt much more sharply in Turkish Lira terms.

For example, the current price of the iPhone 17 Pro Max starts at 119,999 TL. If the new taxes take effect, this figure is expected to rise to 130,000 TL.

Apple has recently been increasing production in countries like India and Vietnam to reduce its dependence on China. The company is also trying to strengthen its supply security with a $500 million rare earth magnet agreement with US-based MP Materials.

However, the short-term impact of these investments is limited. China still controls a large portion of global supply.

Trump’s statement isn’t just a trade policy issue; it’s also a new frontier in the tech power competition. If China and the US don’t back down on this issue, a new wave of price hikes for iPhones and other smart devices seems inevitable.

While the new tax decisions don’t take effect immediately, market prices generally move according to expectations. So, if you’re planning to buy an iPhone soon, waiting a bit could be costly.

According to Apple’s global pricing strategy, price increases in the US are generally reflected in Turkish prices within two to three months.