Apple Boosts India Output as US iPhone Imports Jump 76% in April

• Apple’s iPhone shipments from India to the U.S. rose 76% in April, while shipments from China fell 76% due to tariffs.
• India faces lower U.S. tariffs than China, prompting Apple’s $1.5 billion investment near Chennai.
• India’s iPhone production share will grow from 18% in 2024 to 32% in 2025 but will meet full U.S. demand only by 2026.

The growth in U.S. shipments of iPhones from India, soaring 76% YoY to around 3 million units in April, has hastened the manufacturing shift from China to India for Apple. During the same period, U.S. shipments of iPhones from China to the U.S. plunged by 76% to about 900,000 units, according to Canalys data, now part of Omdia.

This shift has largely been brought on by the tariff policies of the U.S. Given that a 30% duty is imposed on iPhones imported from China while India faces a lower 10% baseline tariff, there seems some attractiveness in the argument.

Though as of April 11, consumer electronics were exempted from tariffs, pressure remains on Apple to advance domestic manufacturing in the U.S. Apple had already started preparing for trade disruptions during the COVID-19 pandemic, stockpiling before tariff announcements, and thus seeing a surge in shipments in March.

Also Read: Paras Defence, Heven Drones Partner to Build Cargo Drones in India

Despite the challenges, with President Trump going as far as threatening extremely high tariffs if Apple doesn't assemble in the U.S., analysts like JPMorgan's Samik Chatterjee think the company can readily offset the costs with modest price rises.

Apple has further affirmed its commitment to growth in India by investing $1.5 billion through Foxconn for display module production near Chennai.

India accounted for 18% of global iPhone production and is supposed to touch 32% in 2025. However, it is only contended to maybe meet U.S. quarterly demand by 2026, indicating continuous capacity-scaling exercises.