Apple Now Makes 25% of All iPhones in India

Apple is moving a substantial portion of its supply chain out of China. Last year, the company assembled roughly a quarter of all its iPhones in India. The change reflects a clear shift in how Apple builds its hardware, driven largely by a need to sidestep steep import tariffs.



Bloomberg reports that Apple produced around 55 million iPhones in India in 2025, a 53% jump from the 36 million units it built there the year before. With Apple producing between 220 million and 230 million iPhones globally each year, India is quickly becoming a critical hub. The sheer volume of devices recently pushed the company past $50 billion in cumulative iPhone exports from the country.


Much of this move comes from ongoing trade friction between the United States and China. Tariffs on Chinese-made goods have led Apple and its suppliers to route more production for the American market through other countries. China still handles most global iPhone manufacturing, but India has quickly become Apple's primary alternative.

The expansion relies heavily on assembly partners like Foxconn, Tata Electronics, and Pegatron. These facilities are no longer limited to assembling older models. They are now assembling all versions of the iPhone 17 lineup, including the more complex Pro and Pro Max configurations, alongside legacy devices like the iPhone 15 and 16. Apple is also working to widen its local network to include component manufacturing for things like lithium-ion battery cells and device enclosures.

A large part of this growth is tied to financial subsidies from the Indian government. Electronics assembly is still more expensive in India than in China or Vietnam, mostly because the local supply chain and logistics infrastructure are still developing. State incentives help offset those extra costs. With the current subsidy program set to expire at the end of March, companies are already negotiating with officials in New Delhi for another round of support to keep production competitive.

Manufacturing iPhones in India also aligns with Apple's push to sell more devices in the region. Sales there recently topped $9 billion. To capitalize on that growing consumer base, the company just opened its sixth retail location, Apple Borivali, in Mumbai, and is currently laying the groundwork to launch Apple Pay in the country later this year.