Apple scales up iPhone production in India for US-bound models

Apple's accelerated shift has already boosted exports from India. Between April and July this year, iPhones worth $7.5 million were exported from the country at factory gate prices, compared to $17 billion in the entire previous fiscal year.

By  Storyboard18| Aug 19, 2025 1:37 PM

Apple Inc. is sharply scaling up iPhone production in India, marking a pivotal shift in its manufacturing strategy as it seeks to reduce dependence on China.

According to a Bloomberg report, the tech giant is producing all four iPhone 17 models - including the premium Pro versions - in India ahead of their global debut next month. This is the first time every new iPhone model will ship from India at launch.

The expansion is spread across five factories, including two recently operational units: Tata Group's plant in Hosur, Tamil Nadu, and Foxconn Technology Group's hub near Bangalore airport.

Sources familiar with the matter told Bloomberg that Tata's facilities alone are expected to account for nearly half of India's iPhone output over the next two years, underscoring the conglomerate's growing role as a key Apple partner.

Apple's accelerated shift has already boosted exports from India. Between April and July this year, iPhones worth $7.5 million were exported from the country at factory gate prices, compared to $17 billion in the entire previous fiscal year.

Earlier this year, Apple shifted the majority of US-bound iPhone production to India in a bid to mitigate tariff risks. While iPhones remain exempt from sectoral tariffs under the Trump administration, they could still face country-specific levies, the report added.

Tim Cook, Apple’s CEO, has pledged $600 billion in US investments over the next four years, part of a strategy to secure continued tariff exemptions for iPhones assembled in India. Cook has also reiterated that most iPhones sold in the US will soon be sourced from India.

The report further added that beyond the iPhone 17, Apple is preparing to manufacture the iPhone 17e in India early next year, a successor to this year's 16e, with discussions for iPhone 18 production already underway.

Apple’s deepening investment in India reflects both a diversification strategy and long-term bet on the country’s manufacturing ecosystem. The company first started assembling iPhones in India in 2017 with the SE model and expanded further in 2021, leveraging state subsidies under Prime Minister Narendra Modi’s production-linked incentives scheme.

Today, Tata stands as the only Indian iPhone assembler, after acquiring Wistron Corp.’s Apple factory in Karnataka in 2023 and taking a controlling stake in Pegatron Corp.’s plant near Chennai. Meanwhile, Foxconn continues to play a critical role alongside Tata in anchoring Apple’s Indian supply chain.

First Published onAug 19, 2025 1:37 PM

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