(CNN) – Analysts are concerned that the surprise tariffs President Donald Trump announced on Thursday could hit American consumers and businesses hard.
One financial services firm forecasts the new 10% tariff could decrease iPhone sales by $8 million next year.
That’s because the tax would impact $300 billion worth of imports, including electronics, toys, clothing, and sneakers.
It would likely filter down to consumers more quickly than last year’s 25% tariffs which target industrial materials.
The president said Thursday that a new tariff could go up to 25% or beyond.
He claimed they would help bring more production jobs to the United States.
Many analysts believe Apple would move a portion of its iPhone production to India and Vietnam instead.
President Trump said the new tariffs will go into effect September 1 unless a trade agreement is reached with China.
(This story was originally published on August 2, 2019)