In 2025, Apple produced approximately 25% of its iPhones in India, marking a significant shift in its supply chain.

Production Increase

According to Bloomberg, roughly 55 million iPhones were assembled in India in 2025, a 53% increase from the 36 million units in 2024. This aligns with the Indian government's goal to raise local manufacturing to 25% of global output by 2025.

Driving Factors

Several factors have contributed to this growth. US tariffs on Chinese-made goods have made manufacturing in China more expensive for Apple. iPhones assembled in China now face import duties of around 55% when entering the US market, while Indian-made devices are assessed at 10%.

Foxconn and Tata Electronics are the main iPhone manufacturers in India. Foxconn has committed US$1.5 billion to build a plant in Chennai. Tata Electronics has increased its share of India's iPhone exports from 13% in 2024 to around 37-40% through 2025.

Economic Impact

In 2025, the iPhone became India's single largest export item, with roughly US$23 billion worth of devices shipped from Indian factories. Smartphones overtook all other categories, reaching $30.13 billion in total exports, with Apple accounting for about 76% of that total.

Challenges and Prospects

China remains the primary iPhone manufacturer, with over 70% of global production. However, the growing importance of India in Apple's supply chain is undeniable. Whether Apple reaches the target of 35% production in India by 2026 remains to be seen, depending on Foxconn and Tata's ability to increase production and the stability of the tariff environment.