Apple Announces $800 Million Rise in Costs Attributed to Tariffs Last Quarter, Expects More Than $1 Billion Effect in Q4
**Consequences of U.S. Tariff Conflict on Apple’s Operations: Insights from Q3 2025 Earnings Call**
In the current Q3 2025 earnings call, Apple CEO Tim Cook discussed the effects of the U.S. tariff conflict on the company’s business and offered forecasts for the next fiscal quarter, depending on the present tariff situation.
During the call, Cook disclosed that Apple faced about $800 million in costs associated with tariffs for the June quarter. Looking to the September quarter, he projected that, assuming global tariff rates and policies remain unchanged, the company might encounter an extra $1.1 billion in costs. Cook stressed that these projections should not be interpreted as fixed forecasts for future quarters due to the dynamic nature of trade regulations.
In the previous quarter, Apple had expected a $900 million impact from tariffs, making the $800 million for Q3 appear somewhat favorable. This decrease showcases Apple’s capacity to respond quickly to the changing circumstances, particularly by relocating a significant amount of U.S.-bound iPhone manufacturing from China to India.
Although Cook did not detail which products or areas experienced the most significant impact from the $800 million tariff cost, nor clarified if the anticipated $1.1 billion in Q4 expenses would be passed on to consumers, he mentioned that more information may come out later in the call.
In spite of the hurdles posed by tariffs, Apple announced a strong revenue of $94.04 billion for the June quarter, marking a 10% year-over-year increase, with significant growth in the iPhone, Mac, and Services sectors.
For a detailed analysis of Apple’s financial performance, additional information can be found in the complete earnings report linked in the original announcement.
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