Apple is reportedly considering raising the price of its new iPhones set for release this fall, leveraging upcoming design upgrades to justify the increases while steering clear of linking the higher costs to ongoing U.S.-China tariff tensions.

YOU CAN ALSO READ: Elon Musk, Sam Altman, others Join Trump, Saudi Crown Prince in High-Stakes U.S.-Saudi Business Talks

According to a report by The Wall Street Journal, sources familiar with Apple’s plans say the tech giant aims to introduce new features, including an ultrathin iPhone model, as part of its strategy to explain steeper prices without attributing them directly to import tariffs.

The move comes as the Trump administration scrutinizes companies seen as highlighting the impact of tariffs on consumer pricing. Last week, Amazon reportedly shelved a plan to label the tariff effects on product prices after the White House criticized it as a “hostile political act.”

Apple CEO, Tim Cook has already taken steps to shield the company from the brunt of U.S. tariffs by shifting production of iPhones intended for the American market from China to India. Cook recently noted that Indian-made iPhones would make up the majority of U.S.-bound shipments in the current quarter.

Despite the shift, Apple is still facing significant cost increases. Cook indicated that existing tariff policies are expected to add roughly $900 million in costs this quarter alone, with additional hikes likely if tariffs remain in place.

However, sources close to Apple’s supply chain say that production of the company’s high-end Pro and Pro Max models will likely remain in China for now, as Indian facilities have yet to scale up to match the mass production capacity of Apple’s Chinese partners.

YOU CAN ALSO READ: From Fora to Moove: Iyinoluwa Aboyeji’s Life-Bet on Building Beyond Self

Apple’s pricing strategy may be impacted by ongoing tariff developments. While the Trump administration had previously exempted most tech products—including many Apple devices—from the highest-tier levies, some Apple goods still face a 20% tariff aimed at penalizing China over its role in fentanyl smuggling.

As of Monday, a temporary tariff truce between Washington and Beijing will lower U.S. tariffs on Chinese imports from 145% to 30% for 90 days, with China reducing its own tariffs from 125% to 10%.

Apple has not publicly commented on the pricing or production changes.