Apple To Boost Production In India Amid US-China Tariff War

The ongoing trade war between the United States and China is shaking things up and India might just come out on top. Tech giant Apple is reportedly making big plans to boost its manufacturing in India.

According to sources, Apple wants to send more iPhones from India to the US. This move is meant to dodge the high tariffs the US has slapped on goods coming from China. Right now, the Trump administration has set tariffs on Chinese products at 54%, while goods from India face a lower rate of 26%. By focusing on India, Apple hopes to soften the blow of these costs while it tries to get special permission from the US government to keep importing from China.

Sources cited that the company plans to boost iPhone exports from India to the US which offers a short-term buffer against the punishing tariffs while it lobbies for exemptions on its China-made imports.

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Apple’s strategy hinges on leveraging its existing manufacturing footprint in India, a move already in motion. According to a media report, the company rushed at least five plane-loads of iPhones and other products from India to the US in the three days leading up to the tariff announcements on April 2. 

This rapid stockpiling which also included shipments from China and other key locations, was a preemptive strike to sidestep the reciprocal tariffs imposed on Indian goods and the looming trade war fallout. “Factories in India and China had been shipping products to the US in anticipation of the higher tariffs,” a source told to the media.

While China remains the linchpin of Apple’s supply chain—assembling roughly 90% of iPhones—the company views the current uncertainty as too risky to overhaul its long-term investments there. Instead, India is becoming a stopgap solution with growing potential. Over the past few years, Apple has steadily expanded its manufacturing presence in India, and now it’s doubling down. 

Reports suggest the tech giant aims to assemble 32% of its iPhones by volume and 26% by value in India by 2026-27, tapping vendors like Foxconn, Wipro Enterprises and Bharat Forge to bolster its supplier network.

Even with these efforts, people are worried. Investors and customers in the US are nervous about what this trade war means for Apple. There’s talk that iPhone prices might go up, and that’s sent crowds rushing to Apple stores over the past few days to buy before any hikes kick in.

For India, this shift signals a golden opportunity. As Apple reroutes its supply chain, the country stands to gain jobs, investment and a stronger foothold in global tech manufacturing. 

Whether this “India play” becomes a permanent fixture or a temporary fix, it’s clear the subcontinent is poised to benefit from the US-China standoff—and Apple’s calculated gamble.

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