New Delhi: Apple is reportedly preparing to shift the entire assembly of iPhones destined for the United States market to India by as early as next year, signaling a major transformation in the tech giant’s global manufacturing strategy.
According to a report by the Financial Times, this potential move is part of Apple’s ongoing efforts to reduce its dependency on China amid escalating trade tensions between Beijing and Washington. However, the final decision will hinge on India’s ability to quickly strengthen its supply chain and on the outcome of current US-China trade negotiations.
Former US President Donald Trump has been vocal in urging American companies, including Apple, to move manufacturing away from China. In response, Apple’s manufacturing partners in India have already begun scaling up operations to meet future demand.
Foxconn Expansion Driving India’s iPhone Production Boom
Apple’s key supplier, Foxconn, is expected to begin operations at its new Bengaluru facility this month. Once fully ramped up, the plant could manufacture up to 20 million iPhones annually. Foxconn’s Tamil Nadu unit alone has contributed nearly 50% of Apple’s iPhone exports from India, which now account for about 70% of India’s total smartphone exports.
Exports from Foxconn’s India factory have surged by over 40% compared to the same period last year, highlighting India’s growing significance in Apple’s production plans.
Record Production and Local Growth
India has seen record-breaking iPhone production over the past year, with $22 billion worth of devices assembled locally. The country now contributes nearly 20% of Apple’s total global iPhone output — a remarkable leap in a short span of time.
Apple’s domestic sales in India have also surged. In Q1 2025, over 3 million iPhones were shipped within the country, marking Apple’s highest quarterly figure ever in India. This momentum has been supported by attractive affordability programs, including no-cost EMIs, cashback deals, and online discounts.
Industry Outlook
Analysts expect Apple to continue its upward trajectory in India, projecting an annual growth rate of 10–15% for 2025.
“With both local demand rising and manufacturing capacity expanding, India is fast emerging as a central hub in Apple’s global operations,” industry experts noted.
The potential move to shift US iPhone assembly entirely to India would not only cement this trend but also position India as a critical player in the future of high-end electronics manufacturing.
