Apple will move production of all iPhones for the United States to India, in efforts to decrease its dependence on China. According to reports, the tech giant—caught in the middle of Donald Trump’s trade war—is looking to implement this change by 2026.
As per the Financial Times, Apple, which is valued at over $3 trillion, is working toward assembling every iPhone sold in the U.S. in India. This shift comes as the company seeks to diversify its manufacturing base away from China, especially amid mounting geopolitical tensions and aggressive U.S. tariff policies introduced during Trump’s presidency.
Apple had once been among the biggest casualties on the stock market due to fears that its China-made products would face steep tariffs when imported into the U.S. Although the White House eventually exempted smartphones from the heaviest tariffs, Apple still faces the risk of a 20% duty on all Chinese-made goods—part of a broader response to China’s role in fentanyl production.
iPhone manufacturing is incredibly complex, involving over 1,000 components sourced from around the world—most of which are currently assembled in China. Apple remains secretive about its production row, but electronics market observers reckon that up to 90% of all iPhones are made in China.
Apple is usually seen sourcing more than 60 million iPhones from India per year for the U.S., according to the Financial Times. market by the end of 2026. To achieve this, iPhone assembly capacity in India would need to more than double.
Apple has already begun ramping up production in India, with iPhones assembled in the country now being exported to the U.S. In March, its main Indian suppliers, Foxconn and Tata, shipped handsets worth nearly $2 billion to its biggest market. To ensure enough inventory amid looming tariffs, Apple even chartered cargo planes to fly about 600 tons—or 1.5 million devices—to the U.S.
Currently, Apple operates three plants in India. Just last month, its largest facility in Chennai, operated by Foxconn India, temporarily extended operations through Sunday shifts to meet production demands.
And while Evercore, an American investment bank, believes that more than 50 percent of Apple Mac computers and 80 percent of iPads come from China, Apple Watches deploy a larger share of production in Vietnam. That being said, analysts are not envisaging the iPhone to be produced in the U.S. any time soon, even though the White House continues to push for tech manufacturing to return home. Caroline Leavitt, Press Secretary to the U.S. President, pointed to Apple’s recent $500 billion investment announcement as a sign that U.S.-made iPhones are possible. “If Apple didn’t believe the U.S. could do it, they probably wouldn’t spend that kind of money,” she said.
However, experts remain skeptical. Financial firm Wedbush Securities warned that iPhones made in the U.S. could cost more than three times their current price. Analyst Dan Ives said, “If consumers want a $3,500 iPhone, then sure—let’s build them in New Jersey, Texas, or wherever.”
Fraser Johnson, a professor at Canada’s Ivey Business School and a specialist in Apple’s supply chain, added last month that the U.S. simply doesn’t have the infrastructure or flexible labor force needed to assemble iPhones. “Training 200,000 to 300,000 people to assemble iPhones just isn’t practical,” he explained.
Apple has been contacted for comment.
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