Amid Donald Trump Tariff hike on several countries and Apple’s significant shift from China, the company is assembling its devices worth approximately $22 billion in the fiscal year ending March 2025. This is nearly 60% rise from the previous year. This is a strategic shift that Apple has been looking from past several years. The tech giant wanted to shift its business strategies from China, especially in light of escalating US tariffs on Chinese imports. By manufacturing iPhones in India on such a mass level, the tech giant is diversifying its supply chain and reducing reliance on China.
As per the Bloomberg report, nearly 20% of all iPhones made globally are now being produced in India which is also supported by partners like Foxconn and Wistron. Both the companies have expanded their companies in Tamil Nadu and Karnataka. In addition, Tata is also joining the league and stepping into iPhone assembly. By doing this, Tata is further solidifying India’s role in Apple’s production ecosystem.
BREAKING: Apple is shifting more iPhone production to India to avoid U.S. tariffs on Chinese goods. By the end of 2025, one in four iPhones could be made in India.
What does this mean for India, China, and global manufacturing? 🧵 pic.twitter.com/IerYlkqBo1
— Ask Perplexity (@AskPerplexity) April 8, 2025
Indian government is also playing a crucial role in diversifying Apple’s eco system in the country. Government has streamlined the export processes for the Apple. Additionally, the Indian government is also offering production-linked incentives to tech companies. This is the reason Apple has now started exporting a large share of these India-made iPhones to the US and European markets. This indeed is reducing company’s dependency on China and mitigating the impact of import tariffs.
This step will not just bring economic benefits to India, but will also helps in generating thousands of jobs and attracting further investments in local supply chain. If India plays a major part in Apple’s business strategy then it also mark country’s ambition of becoming global electronics manufacturing powerhouse. With production in India only expected to grow in the coming years, Apple’s strategic pivot not only strengthens its global resilience but also highlights India’s rising importance in the world of high-end electronics manufacturing.
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