Apple Dials India: US iPhone Assembly Unplugs from China, Connects to New Delhi

Apple is to move all US-bound iPhone manufacturing to India by 2026 to produce 60 million units annually and escape escalating US-China tariff tensions. The effort, triggered by Trump-era tariffs of as much as 145% on Chinese imports, accelerates Apple's diversification push, with allies like Foxconn and Tata scaling up Indian facilities.

 

India's manufacturing capability will increase to 80 million iPhones annually, reports indicate, as Apple exploits incentives and investment in infrastructure. While components remain reliant on Chinese suppliers, the shift is a significant departure from geopolitical risks.

 

The shift follows Apple's investment of $2.5 billion in Indian manufacturing, including the establishment of a new Foxconn plant in Bengaluru. Though costs are expected to be higher, they note that India is strengthening its place in global technology supply chains.

 

Sources: Financial Times, Bloomberg, Tech Monitor