Apple to shift entire US iPhone assembly to India by 2026 amid tariff tensions with China
New Delhi: Apple is preparing to relocate the assembly of all iPhones sold in the United States to India by next year, with the full transition expected to be completed by the end of 2026, the Financial Times reported, citing people familiar with the matter.
The move comes as the company accelerates its supply chain diversification in response to rising US-China trade tensions.
This marks the tech giant’s most sweeping manufacturing shift in decades and builds on its growing investment in India.
The plan targets the relocation of production for more than 60 million iPhones annually.
Tariffs push Apple out of China
Apple currently relies heavily on Chinese manufacturing partners such as Foxconn.
However, tariffs imposed under former President Donald Trump’s administration—some exceeding 100%—have made Chinese assembly less viable.
Although smartphones were temporarily shielded from the steepest duties, a 20% levy still applies to Chinese-made devices entering the US.
India, in comparison, faces a suspended reciprocal tariff of 26%, and is in talks to finalise a bilateral trade deal with Washington.
US Vice President JD Vance recently said discussions were “very good,” raising expectations that India could become the first country to reach such a deal under Trump’s tariff regime.
iPhone output surges in India
Apple has scaled up manufacturing in India through tie-ups with Foxconn and Tata Electronics.
These companies currently import components from China and assemble iPhones locally. According to IDC, over three million iPhones were shipped from India in the first quarter of 2025, despite a broader contraction in the domestic smartphone market.
Foxconn alone exported Apple devices worth $1.31 billion in March, taking total exports to the US to $5.3 billion this year. The shipments include various iPhone models, including the 13, 14, 16, and 16e.
Retail push and job creation
Apple is also doubling down on retail in India. It plans to double iPhone output and open four new Apple Stores in Bengaluru, Pune, Delhi-NCR, and Mumbai.
The company currently employs over 3,000 people in the country and has posted hundreds of new manufacturing and retail jobs.
India emerges as global tech hub
Apple’s move is part of a wider industry shift. Samsung is reportedly mulling a relocation of smartphone manufacturing from Vietnam to India following a 46% tariff on Vietnamese imports.
Google’s parent Alphabet Inc is also in talks with partners like Dixon Technologies and Foxconn to move some Pixel phone production from Vietnam to India.
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