US iPhones Made In India Solve Apple's Tariff Problem, But Not Its China Problem

According to the Financial Times, which cites sources “familiar with the matter,” Apple plans to assemble successful India each iPhones intended for the US by the extremity of 2026. The bulk of Apple’s iPhones are presently made successful China, but Chinese-made products person go a toxic plus for US import.

The US authorities has imposed a 145 percent tariff connected goods from China. While smartphones are included successful a 90-day reprieve, announced successful aboriginal April, Trump has indicated this exclusion is so a impermanent one. Ready to wage $2,949 for a basal retention iPhone 17 Pro Max?

Apple’s expected shifting of its manufacturing to India is an security argumentation against specified chaos successful the future, but it did not statesman here. In December 2024, we wrote astir Apple’s increasing reliance connected India for manufacturing arsenic a bulwark against increasing US-China tensions.

Indian accumulation of iPhones commenced successful 2017, starting with the lower-cost iPhone SE. The state began producing flagship exemplary motorboat iPhones successful 2023.

Despite being the amended portion of a decennary into Indian iPhone manufacture, this latest alleged displacement successful strategy inactive represents a precise costly turbo-charging of its efforts—and apt astatine slightest a doubling of output from Apple’s Indian accumulation plants. WIRED approached Apple for comment, but has not received a effect astatine clip of publishing.

How Many Indian iPhones?

“Our estimates accidental that Apple produced astir 40 to 43 cardinal [iPhones] successful India past year,” says Navkendar Singh, subordinate vice president astatine IDC India. “About 12 oregon 13 cardinal were consumed successful the India marketplace entirely, and remainder were exported out.”

More than 60 cardinal iPhones are sold successful the US each year, wherever the bid commands a 57 percent smartphone marketplace share, according to immoderate estimates. "So astir 80 to 85 cardinal [iPhones] they volition request to nutrient successful India,” says Singh, should Apple privation to fulfill US request astatine existent levels portion besides serving section Indian marketplace demand.

This enlargement does not solely trust connected Apple’s investments. As successful each of Apple’s large accumulation efforts, immoderate Indian enlargement volition impact partners, chiefly Tata Electronics, Foxconn and Pegatron.

“Tata is wholly moving astatine capableness close now,” says Singh. Tata is the superior unit down Indian iPhone manufacture astatine present. It operates an assembly works successful Tamil Nadu, successful the country’s south. It acquired Wistron’s iPhone-manufacturing Karnataka installation successful 2023, and, successful January 2025, closed connected a bulk 60 percent involvement successful Taiwanese institution Pegatron’s Indian operation.

This successful crook represents a consolidation of Indian iPhone accumulation being stewarded by an Indian company, Tata Electronics. Foxconn, Pegatron and Wistron are each Taiwanese companies, contempt their planetary scope and importance.

Trouble astatine the Factory

Apple’s Tata-led accumulation has not been wholly creaseless to date. In 2023, Tata’s Hosur factory, which produced iPhone casings, reportedly had a output complaint of conscionable 50 percent, with fractional of the components failing Apple’s rigorous prime checks. This is simply a precise debased output rate, and it highlights the value of a skilled and businesslike manufacturing operation.

“There conscionable isn’t a consciousness of urgency,” a erstwhile Apple technologist told the Financial Times, speaking connected Apple’s Indian operations successful 2023. Apple’s 2025-2026 summation successful Indian manufacturing volition beryllium a trial of whether that concern has changed, and by however much.