Apple is significantly increasing its iPhone production capacity in India. This expansion will see manufacturing operations spread across five factories as the company aims to reduce its reliance on China for devices destined for the United States. Notably, all four models of the iPhone 17 will be manufactured in India in preparation for their launch next month.
The expansion includes new facilities operated by the Tata Group in Tamil Nadu and Foxconn near the Bangalore airport. Tata-controlled plants are projected to handle up to half of India’s total iPhone output over the next two years.
Between April and July, iPhones worth $7.5 billion were shipped from India, a substantial increase compared to the $17 billion shipped during the entire previous fiscal year. A recent report indicated that India has surpassed China as the primary manufacturer of smartphones shipped to the United States.
The shift in production is occurring as Apple navigates the impacts of tariffs. CEO Tim Cook previously committed to $600 billion in U.S. investments over four years, partially to secure exemptions for India-made iPhones. While the U.S. has imposed tariffs, electronics have been largely spared. Meanwhile, China has reportedly discouraged technology transfers to India, and Foxconn has recalled Chinese engineers from its Indian facilities. The expansion of production facilities in India was initiated amid U.S. tariffs on China, although the additional tariffs have put India at a disadvantage. Apple’s expansion is happening despite potential deterrents from tariff changes.
