India Becomes Key iPhone Export Hub As Apple Sidesteps China Tariffs

Dodging tariffs and reshaping supply chains, Apple now ships nearly all India-made iPhones to the US, says report, marking a shift away from China dependence.

Apple has significantly increased iPhone exports from India to the United States (US). According to a report by the Taipei Times, almost all shipments from Foxconn’s Indian operations now head directly to the US.

Between March and May this year, Foxconn exported US$3.2 billion worth of iPhones from India, with approximately 97% destined for the American market. In total, India-to-US iPhone shipments reached US$4.4 billion in the first five months of 2025, already higher than the US$3.7 billion sent during the entire year of 2024.

The sharp rise points to Apple’s accelerating shift away from China, amid continued trade tensions and high US tariffs on Chinese-made goods. By relocating more manufacturing to India, Apple aims to reduce exposure to costly import duties that affect products assembled in China.

March saw a record-breaking US$1.3 billion in shipments from India, driven in part by Apple’s use of charter flights to expedite the delivery of iPhone 13, 14, and 16 models to the US.

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The company has also lobbied for faster customs clearance at Chennai airport, aiming to cut processing times to just six hours.

India’s Tata Electronics, a smaller supplier to Apple, has also increased its US-bound shipments. In March and April, around 86% of its exports were sent to the US, a notable jump from the 52% average in 2024.

However, despite India’s push to become a global manufacturing hub, local production remains expensive due to high import taxes on smartphone components. Still, analysts expect India to contribute up to 30% of global iPhone output by 2025, up from 18% this year.

While the shift strengthens India’s role in Apple’s supply chain, it has drawn criticism from US politicians, including Donald Trump, who has urged the company to prioritise domestic manufacturing.

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Shubha Mitra
Shubha Mitra
Shubha Mitra is an Assistant Editor at EFY, keenly interested in policies and developments shaping the electronics business.

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