Fri Apr 25 21:34:56 UTC 2025: ## Apple to Shift Majority of US iPhone Assembly to India by 2026 Amid Trade Tensions

**NEW DELHI/CUPERTINO** – Apple plans to significantly shift iPhone assembly for the US market to India by the end of 2026, a move designed to mitigate the impact of US-China trade tensions and diversify its manufacturing base. The company aims to double its current Indian output, bringing the majority of iPhones sold in the US to be assembled in India, a massive undertaking that would move production away from its current main hub in China.

Currently, 80% of the 60 million iPhones sold annually in the US are assembled in China. This shift, first reported by the Financial Times, would involve negotiations with key manufacturing partners in India, including Foxconn and the Tata Group, according to Reuters.

While Apple has already increased its Indian production – shipping a record $2 billion worth of iPhones to the US in March – manufacturing in India is estimated to be 5-8% more expensive than in China, potentially costing Apple $30 billion to $40 billion. Concerns remain about India’s infrastructure capacity to handle such a dramatic increase in production. Analyst Dan Ives of Wedbush Securities noted that even with this move, Apple’s dependence on China will persist for years.

The move comes amid ongoing trade tensions between the US and China. While the Trump administration has hinted at easing tariffs, China denies any current trade talks with the US. Conversely, US-India trade talks are progressing, with Vice President JD Vance reporting “good progress” following a recent meeting with Indian Prime Minister Narendra Modi. India has also taken steps to incentivize domestic mobile phone production, including removing import taxes on some components.

However, obstacles remain. The Information reported that Chinese authorities have reportedly created roadblocks for Apple suppliers seeking to relocate, delaying or blocking equipment shipments.

This significant shift will be closely watched as Apple prepares to release its earnings report on Thursday. The move underscores the growing importance of India as a manufacturing hub and highlights the complexities and costs associated with diversifying global supply chains in the face of geopolitical uncertainty.

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