Apple will manufacture all iPhone 17 models, including the Pro versions, in India for the first time, ahead of the devices’ September launch.
The move is part of Apple’s broader strategy to meet the majority of US iPhone demand from India rather than China, driven by tariff concerns and geopolitical tensions, according to news reports.
The company has expanded iPhone production to five factories in India, including two recently opened plants. Indian conglomerate Tata Group will handle up to half of India’s iPhone output over the next two years, with production taking place at Tata’s Hosur facility in Tamil Nadu and Foxconn Technology Group’s hub near Bangalore airport.
The strategy is already showing results. iPhone exports from India reached $7.5 billion in the four months starting April, nearly half the $17 billion exported during the previous fiscal year. These figures reflect factory gate prices, highlighting the rapid pace of Apple’s production shift.
This relocation also helps Apple mitigate tariff-related costs. While electronics like iPhones are generally exempt from sectoral US tariffs, individual country levies and ongoing US-China trade tensions have created financial risks. Apple anticipates a $1.1 billion headwind from tariffs in the current period.
India now accounts for 20% of global iPhone production, with $22 billion worth of iPhones assembled in the country over the past year. The pivot, initially triggered by strict COVID-19 lockdowns in China, has intensified amid trade uncertainties, reinforcing India’s position as a key manufacturing hub for Apple.
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