In a landmark shift in Apple’s global manufacturing strategy, CEO Tim Cook has confirmed that most iPhones sold in the United States this quarter will be manufactured in India. This move marks a pivotal moment in Apple’s supply chain evolution, signaling a reduced dependency on Chinese production lines and a growing reliance on India as a key manufacturing hub.
The transition comes as Apple grapples with increased U.S. tariffs on Chinese imports, which are expected to cost the tech giant nearly $900 million this quarter alone. In response, Apple has accelerated efforts to diversify its assembly operations, moving not only iPhone production to India but also manufacturing of other core devices such as iPads, MacBooks, Apple Watches, and AirPods to countries like Vietnam.
“India is not just a manufacturing base; it’s becoming a critical part of our global strategy,” said Cook during Apple’s latest earnings call. He also praised India as one of the company’s fastest-growing markets, with the iPhone recently topping the smartphone sales charts in the country. Apple is further investing in the Indian market by planning to open four new retail stores, adding to its existing presence in Mumbai and Delhi.
Despite external pressures from tariffs and mixed responses to its latest AI features in the iPhone 16, Apple posted stronger-than-expected earnings for the first quarter of 2025. Revenue climbed to $95.36 billion, up 5.1% year-over-year, while net income rose by 4.8% to reach $24.78 billion. iPhone sales alone grew 1.9% to $46.84 billion.
Apple’s decision to anchor more of its production in India not only shields it from geopolitical risks but also highlights the country’s rising stature in the global tech economy. As this shift takes hold, it’s likely to redefine the global supply chain landscape — with India emerging as a critical player in the world of premium smartphone production.
