Apple plans to shift the meeting of all iPhones offered in america to India as early as subsequent 12 months, pivoting away from China to keep away from steep tariffs, the Monetary Occasions reported, citing folks conversant in the matter.
The corporate didn’t instantly reply to a Reuters request for remark.
US President Donald Trump’s commerce conflict is pushing tech corporations to diversify their provide chains. Apple is positioning India to play a key function in its manufacturing technique, though its suppliers within the nation at the moment produce solely a small share of iPhones offered globally.
Analysts had beforehand warned that client items corresponding to iPhones could possibly be among the many hardest hit by Trump’s broad tariffs and mentioned US iPhone costs may rise sharply as a consequence of Apple’s heavy dependence on Chinese language imports.
Increased costs might squeeze Apple’s margins and provides Android smartphone makers a aggressive edge.
Earlier this month, Washington granted tariff exclusions for smartphones, computer systems and different electronics principally imported from China, providing some aid to tech corporations corresponding to Apple.
The corporate sells greater than 220 million iPhones a 12 months worldwide, with Counterpoint Analysis estimating a fifth of the overall imports of the system to the US coming from India, and the remaining from China.
Foxconn and Tata, Apple’s most important suppliers in India, function three factories, with two extra below development.
In March, Foxconn and Tata shipped almost US$2 billion value of iPhones from India to the US, a report excessive, based on customs knowledge.
Foxconn’s plant in Chennai now operates on Sundays, sometimes a break day, two sources instructed Reuters. The plant produced 20 million iPhones final 12 months, together with the most recent iPhone 15 and iPhone 16 fashions.
