Apple May Relocate Entire iPhone Production for US to India by Next Year: Report
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Synopsis
Apple is contemplating moving its iPhone assembly for the US to India by next year, marking a pivotal shift in its manufacturing strategy as it seeks to lessen reliance on China amid ongoing trade tensions.
Key Takeaways
- Apple plans to shift iPhone assembly to India.
- Decision depends on India's supply chain readiness.
- Foxconn's Bengaluru plant is ramping up production.
- iPhone production in India hit a record high.
- India contributes nearly 20% to Apple's total iPhone output.
New Delhi, April 25 (NationPress) Apple is said to be considering the relocation of its entire iPhone assembly operations for the United States to India by as soon as next year.
This would signify a significant shift in Apple’s worldwide manufacturing approach, as the technology leader aims to decrease its reliance on China, based on a report from the Financial Times.
The ultimate decision hinges on how swiftly India can enhance its supply chain and the progression of trade negotiations between China and the US.
The report notes that US President Donald Trump has been urging Apple to distance itself from China amid ongoing trade disputes.
Trump recently indicated that discussions with China regarding tariffs are still ongoing. Meanwhile, Apple’s contract manufacturers in India are already increasing their production capabilities.
Foxconn’s facility in Bengaluru is anticipated to begin operations this month and could eventually reach a production capacity of up to 20 million units at its peak.
Approximately 70 percent of exports are attributed to Apple’s iPhone supply chain with Tamil Nadu-based Foxconn, which accounts for nearly 50 percent of overseas shipments.
Exports from the Foxconn factory have witnessed an over 40 percent increase compared to the previous financial year.
Apple’s iPhone manufacturing in India has achieved an all-time high, with devices valued at $22 billion assembled over the last year, according to earlier reports.
India now represents almost 20 percent of Apple’s global iPhone production, highlighting the country’s crucial role in Apple’s manufacturing strategy.
The Indian market is also exhibiting robust growth for Apple. In the first quarter of 2025, over 3 million iPhones were dispatched from India—setting a record for Apple in the nation.
This growth has been fueled by affordability initiatives such as no-cost EMIs, cashback promotions, and discounts from online retailers.
Industry analysts predict Apple will sustain a consistent annual growth rate of 10-15 percent in India this year.
“With manufacturing increasing and local demand rising, India is swiftly becoming an essential component of Apple’s global strategy,” experts remarked.
