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Apple Plans To Shift Majority Of iPhone Production To India From China

Apple Plans To Shift Majority Of iPhone Production To India From China

Apple Plans To Shift Majority Of iPhone Production To India From China

India-West News Desk

CHENNAI – Apple plans to shift a significant portion of its iPhone production to India, aiming to manufacture the majority of iPhones sold in the U.S. at Indian factories by the end of 2026, according to Reuters. This accelerated move comes as Apple seeks to mitigate the risk of higher tariffs in China, its primary manufacturing hub.

The tech giant is in urgent discussions with contract manufacturers Foxconn and Tata to facilitate this shift. Foxconn and Tata operate three factories in India, with plans to expand by building two additional ones.

Currently, Apple sells over 60 million iPhones annually in the U.S., with around 80% of those units produced in China. However, manufacturing in India comes with its own challenges, as costs are 5-8% higher compared to China, with some estimates indicating a 10% difference.

To combat rising tariffs, Apple has already increased production in India, sending about 600 tons of iPhones worth $2 billion to the U.S. in March. These shipments marked a record for both Foxconn and Tata, with Foxconn alone contributing $1.3 billion in iPhone shipments.

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