Apple is squarely in the middle of the U.S.-China trade war—but it has a plan to avoid a sharp increase in the cost of iPhones. It might not be to the taste of President Donald Trump. The Trump administration has temporarily exempted smartphones,

Apple’s CEO Tim Cook spoke to Commerce Secretary Howard Lutnick last week about the potential impact of the tariffs on iPhone prices.

Since President Donald Trump rolled out his tariffs earlier this month, he has defended them as a necessary step to bring manufacturing back to America. Apple is now reportedly planning to move their iPhone assembly out of China -- but still isn't bringing it to the U.