Kristina Roberts
In recent months, Apple has made a big change in where it sends iPhones made in India. Almost all of them are now going to the United States, according to new data. This is happening because Apple is trying to avoid high taxes the US government puts on phones coming from China. Foxconn, the company that makes iPhones for Apple, shipped phones worth $3.2 billion from India between March and May this year. Out of these, a huge 97% were sent to the US. This is much higher than before—in 2024, only about half of India’s iPhone exports went to the US. The rest went to countries like the Netherlands, the Czech Republic, and Britain.
The numbers show how quickly Apple is changing its plans to deal with new trade rules. The US has been increasing taxes on goods made in China, especially electronics like iPhones. To avoid paying these extra costs, Apple is making more phones in India and sending them directly to the US. In May alone, Foxconn shipped iPhones worth nearly $1 billion from India to the US. The highest ever was in March when $1.3 billion worth of iPhones were sent.
Apple and Foxconn have not said anything about these numbers when asked. But it’s clear that Apple is working hard to move its production away from China. The US government, led by President Donald Trump, has been very strict about trade with China. Recently, Trump said China could face tariffs as high as 55% if trade talks don’t go well. At the same time, India, where Apple is now making more phones, usually has a 10% tax when sending goods to the US. But there was a worry that this could go up to 26% after Trump announced new rules in April.
Trump has not been happy about Apple making phones in India instead of the US. In May, he said he told Apple’s CEO, Tim Cook, “We are not interested in you building in India. India can take care of themselves, they are doing very well. We want you to build here.” Even so, Apple is still increasing production in India. In just the first five months of this year, Foxconn sent $4.4 billion worth of iPhones from India to the US. That’s already more than the $3.7 billion sent in all of 2024.
Apple is also using faster ways to send phones to the US. In March, the company even chartered special planes to carry iPhones worth about $2 billion directly to America. This shows how serious Apple is about avoiding delays and extra costs from shipping. The phones sent included models like the iPhone 13, 14, 16, and 16e.
This shift is part of a bigger plan by Apple to rely less on China. For many years, most iPhones were made in China, but now Apple is spreading its production to other countries like India and Vietnam. This helps Apple avoid problems like high taxes, trade wars, and factory shutdowns that sometimes happen in China. India has been welcoming Apple by offering benefits to companies that make phones there. The Indian government wants more companies to set up factories in the country to create jobs and boost the economy.
For Apple, making phones in India is not just about avoiding US tariffs. It also helps the company sell more iPhones in India, which is a huge and growing market. Right now, most people in India buy cheaper Android phones, but Apple wants to change that. By making iPhones locally, Apple can lower prices and attract more Indian customers.
The changes in Apple’s supply chain show how big companies have to adapt to new trade rules and political pressures. The US-China trade war has forced many businesses to rethink where they make their products. For Apple, moving some production to India is a smart way to keep costs down and stay competitive. But it’s not always easy—Trump’s comments prove that politics can still create challenges.
Even with these challenges, Apple is likely to keep growing its operations in India. The country has a large workforce, and the government is offering support to attract big tech companies. Foxconn and other Apple suppliers are already building bigger factories in India to meet the demand. Experts believe that in the next few years, India could become one of the biggest iPhone manufacturing hubs in the world.
For now, the numbers don’t lie—Apple is sending more iPhones from India to the US than ever before. This is a clear sign that the company is serious about avoiding China tariffs and making its supply chain more flexible. While Trump may want Apple to make phones in the US, the reality is that companies will always look for the best way to save money and stay ahead in the market.
As trade policies keep changing, Apple’s strategy might change too. But one thing is certain: the way iPhones are made and shipped around the world is not the same as it was a few years ago. With India playing a bigger role, the global tech industry is entering a new phase where supply chains are spread across many countries instead of relying on just one. This could mean more jobs in places like India and more options for companies like Apple to handle future trade challenges.
In the end, Apple’s move shows how big businesses have to think about politics, taxes, and customer demand all at the same time. By shifting iPhone production to India and focusing on the US market, Apple is trying to balance all these factors. Whether this plan works in the long run will depend on how trade rules evolve and how well Apple can keep up with the changes. For now, the numbers prove that Apple is making bold moves to stay on top.
