NEW DELHI: Apple ramps up iPhone production in India as it repositions its global supply chain amid U.S. trade tensions. CEO Tim Cook announced, “A majority of iPhones sold in the US will have India as their country of origin,” during the company’s latest earnings call.
The shift comes as Apple looks to minimize exposure to tariffs linked to China. Cook estimated that current duties could add $900 million to Apple’s costs this quarter. To avoid that hit, the company is accelerating its India strategy.
Currently, 20% of iPhones are made in India. That number is expected to grow sharply as Apple’s manufacturing partners, including Foxconn and Pegatron, expand their Indian operations. The move positions India as the dominant iPhone supplier for U.S. customers.
Meanwhile, Apple ramps up iPhone production in India while also moving other product lines to Vietnam. Cook noted that nearly all iPads, Macs, AirPods, and Apple Watches for the U.S. market will come from Vietnam moving forward.
Apple still relies on China for global product supply, but it’s clear that iPhones bound for the U.S. will have new roots. The decision reflects broader strategic shifts, as the company adapts to both economic and geopolitical realities.
Sales in China dropped 2.3% last quarter amid rising competition from local tech giants like Huawei and Xiaomi. Despite the dip, Apple remains committed to China for non-U.S. production.
Apple ramps up iPhone production in India not just to dodge tariffs—but to future-proof its operations. Expect “Made in India” iPhones to become the U.S. standard.
