In a significant realignment of its global supply chain, Apple has dramatically increased the export of India-made iPhones to the United States, a strategic move aimed at circumventing heavy tariffs on Chinese imports. Between March and May 2025, a staggering 97 percent of iPhones produced by Foxconn in India were shipped to the US, marking a major shift in Apple’s export strategy.

Key Highlights

97% of Foxconn India iPhone exports (Mar-May) shipped to the US

$3.2 billion worth of iPhones exported during this period

Production shift aligns with Apple’s plan to reduce reliance on China

Tariff pressures under Trump-era trade policies prompt supply chain pivot

Chennai Airport plays a critical role in Apple’s export logistics

A Strategic Shift to Counter Tariffs

With the US ramping up tariffs on Chinese-made electronics, Apple has responded by leaning more heavily on India as an alternative manufacturing hub. In early 2025, the US imposed new tariffs of up to 55 percent on Chinese goods, making iPhone exports from China to the US increasingly expensive.

To mitigate these costs, Apple has rerouted its exports: while Indian iPhones were earlier distributed across Europe and the UK, nearly all units produced by Foxconn from March to May this year have been shipped to the US. This reflects Apple’s effort to reduce tariff exposure while still meeting high demand in its largest market.

Soaring Export Volumes from India

Foxconn’s India-based operations sent iPhones worth $3.2 billion (Rs. 27,547 crore) to the US between March and May. This accounts for an unprecedented 97 percent of its exports during that time. Notably, in May alone, Foxconn shipped nearly $1 billion worth of iPhones, following an all-time high of $1.3 billion in March.

For context, the average percentage of iPhones exported to the US from India throughout early 2024 was just 50.3 percent. The sudden surge underscores Apple’s rapid and responsive shift in strategy.

Apple’s Aggressive Push: Charter Flights & Customs Lobbying

Apple isn’t just exporting more from India—it’s accelerating the process. In March, the company chartered aircrafts to quickly move high-demand iPhone models such as the iPhone 13, 14, and newer 16 series to the US. Shipments via air alone totaled over $2 billion (Rs. 17,213 crore).

Apple has also lobbied Indian authorities to streamline customs clearance at Chennai airport—from 30 hours down to just 6 hours—to ensure faster global deliveries. Chennai serves as a vital logistics hub for Apple’s India export operations.

Growing Role of Tata Electronics

Tata Electronics, Apple’s newer iPhone assembly partner in India, has also joined this effort. Between March and April, 86% of Tata’s iPhone production was shipped to the US. Tata only began iPhone exports in mid-2024, and its contribution is steadily increasing, though May figures are still pending.

India’s Rising Role in Apple’s Global Supply Chain

According to Counterpoint Research, India-made iPhones could account for 25–30% of all global shipments by the end of 2025, up from 18% in 2024. This shift positions India as a critical pillar in Apple’s international manufacturing strategy.

Despite India’s higher component import duties compared to other countries, Apple is willing to absorb those costs to avoid more punitive tariffs elsewhere. This also complements Prime Minister Narendra Modi’s “Make in India” vision, which aims to transform the country into a global manufacturing hub.

Political Crossfire: Trump’s Criticism

Apple’s India pivot has not gone unnoticed in US political circles. Former President Donald Trump has expressed discontent, stating, “We are not interested in you building in India… we want you to build here,” referencing a conversation with Apple CEO Tim Cook. Despite political pushback, the economic rationale behind Apple’s shift remains strong.

Conclusion

Apple’s decision to re-route nearly all of Foxconn’s iPhone exports from India to the US highlights a critical inflection point in global tech manufacturing. As US-China tensions reshape global trade, India stands out as a key alternative for Apple. With growing local infrastructure, government support, and supply chain optimization, India is not just a backup—it’s becoming a core part of Apple’s long-term production strategy.