William Gallagher
Even before Trump's tariffs were originally announced, Apple was expanding iPhone production in India, in an increasingly rapid move away from over-reliance on China.
Trump's use of tariffs to make iPhones be built in the US is still expected to see Apple instead moving more manufacturing to India. But according to the country's The Straits Times , in the year up to March 2025, India was already further a significant producer of the iPhone.
Reportedly, $22 billion worth of iPhones were produced in India from the end of March 2024 to the end of March 2025. That's a 60% increase over the previous year, and according to unspecified sources means that India is now manufacturing 20% of all iPhones.
The report is a little unclear on details. For instance, it ascribes the $22 billion figure to India's technology minster, but doesn't say that is Ashwini Vaishnaw himself, or a spokesperson for the ministry.
Then if Apple has exported $22 billion worth of iPhones, it isn't stated how many iPhones that represents, nor how many more were produced for sale within India itself. Previous sources have said India now produces 30 million to 40 million iPhones annually, with around 12 million going to buyers in India.
It's not possible to estimate the number of iPhones from the $22 billion figure, in part because there is no information about the mix of models produced. But also, that figure is the factory gate value, the price of the iPhone before any shipping, taxes — or tariffs — are applied.
Nonetheless, if the other unnamed sources claiming India now accounts for 20% of Apple's worldwide iPhone production, it fits with previous reports. Apple has now long been said to ultimately be aiming to make 25% of all iPhones in India.
Most recently, Apple's main iPhone supplier Foxconn was reported to be doubling its production facilities in India by the end of 2025.
Malcolm Owen
Wesley Hilliard
Christine McKee
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3 Comments
We will have to see if the new Trump Tariff of 26% on products made in India returns on July 9 or not. It would still be an onerous increase in the cost of Apple products to Americans but a tax on Chineese imports of 145% would mean that Chinese produced iPhones, Macs, iPad would have to be sold to other markets without punative tarifs. It might result in a closer trade relationship between the EU and China with Apple products from China going to EU, perhaps Australia as well while the US recieves products made in India or elsewhere.
Apple had no choice but to start building in India due to the Indian government pressure on Apple.
Any time I shop for any product, I check the "Made in" (or "Assembled in") label because I always want to buy my products made in free countries, like India. I avoid countries like China, where people (and the environment, by the way) are oppressed. I pay extra for things in my life to help keep people free and the environment clean. Based on this story, maybe I'm not the only one doing that.