Apple plans to shift the meeting of all iPhones offered in the USA to India as early as subsequent yr, pivoting away from China to keep away from steep tariffs, the Monetary Instances reported, citing folks aware of the matter.
The corporate didn’t instantly reply to a Reuters request for remark.
US President Donald Trump’s commerce struggle 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 presently produce solely a small share of iPhones offered globally.
Analysts had beforehand warned that shopper items similar to iPhones might be among the many hardest hit by Trump’s broad tariffs and mentioned US iPhone costs would possibly rise sharply as a consequence of Apple’s heavy dependence on Chinese language imports.
Larger 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 largely imported from China, providing some aid to tech companies similar to Apple.
The corporate sells greater than 220 million iPhones a yr worldwide, with Counterpoint Analysis estimating a fifth of the whole imports of the gadget to the US coming from India, and the remainder from China.
Foxconn and Tata, Apple’s most important suppliers in India, function three factories, with two extra below building.
In March, Foxconn and Tata shipped practically US$2 billion value of iPhones from India to the US, a report excessive, in response to customs knowledge.
Foxconn’s plant in Chennai now operates on Sundays, sometimes a time off, two sources instructed Reuters. The plant produced 20 million iPhones final yr, together with the most recent iPhone 15 and iPhone 16 fashions.