Apple is reportedly exploring the possibility of increasing shipments of iPhone units manufactured in India to the United States, as the company seeks to mitigate the repercussions of recently instituted tariffs on imports from China. Additionally, the tech giant is pursuing a tariff exemption on Chinese products that were announced by President Donald Trump last week. Although Apple has traditionally depended on China for iPhone production, the company has been adjusting its supply chain strategies in recent years.
Apple Aims to Boost iPhone Exports from India to the US
The Wall Street Journal reports, citing sources close to Apple’s plans, that the company intends to channel more of its Indian-produced iPhones to the US market. With millions of iPhones being manufactured in India, this strategy is seen as a method to soften the impact of the newly raised tariffs on Chinese imports, which have surged to 54 percent as announced by President Trump on April 2.
According to the report, if Apple successfully shifts all units produced in India to the US, it could satisfy 50 percent of the anticipated demand for its handsets in the US by the year 2025. In contrast, the US recently implemented a 26 percent tariff on imports from India, a figure significantly lower than that imposed on China.
Apple previously benefited from a tariff exemption during Trump’s first term, and it is reportedly seeking a similar exception now. Under the current tariffs, the cost of importation from China could potentially drive the price of an iPhone 16 Pro to $850 (approximately Rs. 73,300), an increase from its current price of $550 (around Rs. 47,400), according to the report.
As the company continues to lean heavily on Chinese manufacturing for its iPhones, its stock has experienced a notable decline of 19 percent in just three days, resulting in a market capitalization loss nearing $640 billion (approximately Rs. 55,18,900).
In related news, it was recently reported that Foxconn has initiated limited trials for iPhone production at its facility in Bengaluru, as part of a broader strategy to ramp up iPhone manufacturing in India. The Taiwanese firm produced 12 million iPhone units in India last year and is aiming to increase that output to between 25 million and 30 million units.
