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Apple is expanding its iPhone manufacturing in India, with all four models of the upcoming iPhone 17 series being assembled there ahead of the device’s anticipated September launch. This marks the first time the full lineup, including the Pro models, will be produced in India from day one.
The production now spans five factories, including new facilities by Tata Group in Hosur, Tamil Nadu, and Foxconn’s plant near Bengaluru. India currently accounts for about 20 percent of global iPhone production. Tata is expected to handle up to half of India’s iPhone output within the next two years, with the country projected to reach 25 to 30 percent of global iPhone production by year-end.
India’s iPhone exports surged 63 percent to $7.5 billion in the April-July 2025 period, compared with $4.6 billion during the same months in 2024. This four-month period accounts for nearly half of India’s total iPhone exports in the previous fiscal year, which were valued at $17 billion.
The expansion is a response to trade tensions and tariff threats. While Apple’s iPhones remain exempt from tariffs related to President Trump’s earlier 50 percent duties on Indian imports tied to Russian oil purchases, the exemption is subject to change amid ongoing trade discussions.
Apple faces repeated pressure from the U.S. government over overseas manufacturing, including direct calls from Trump urging CEO Tim Cook to halt operations in India and threats of 25 percent tariffs on products manufactured outside the U.S.
In August 2025, Apple announced a $100 billion investment plan to boost manufacturing in the United States, bringing its total domestic investment pledge to $600 billion over four years through a newly created American Manufacturing Program. However, analysts note that shifting significant iPhone production to the U.S. would require years, with potential price increases for devices estimated as high as $3,500.
The Indian manufacturing expansion strengthens Apple’s supply chain diversification and positions the company to serve its large and growing market locally while mitigating risks from geopolitical and trade uncertainties.
These developments mark India as Apple’s second-largest manufacturing hub after China, reflecting the company’s strategic shift in global production priorities.
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