Apple is moving the bulk of its iPhone assembly from China to India in a major strategic move to lessen its exposure to trade tensions. By the end of 2026, most iPhones sold in the US will be made in India, with key partners like Foxconn and Tata Group leading the efforts.
This shift is a response to the costly US-China tariff war and aims to cut operational expenses, although manufacturing in India is currently 5-8% pricier than in China. Experts warn the transition could cost Apple between $30-40 billion and take years to fully execute.
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Indian Prime Minister Narendra Modi’s push to establish India as a global smartphone manufacturing hub is starting to pay off, but challenges like weak infrastructure and logistical issues remain major hurdles for Apple.
Despite obstacles, this move could reshape global supply chains, especially as US-India trade relations strengthen, offering Apple both strategic and financial advantages in the long run.
