Apple plans to shift iPhone production from China to India due to high tariffs

Apple plans to move production of all iPhones designed for the US market from China to India by the end of 2026.

Here's What We Know

The move comes as the company seeks to reduce its dependence on the Chinese manufacturing base amid trade tensions between the US and China. Apple currently already manufactures some iPhone models in India through a partnership with Foxconn, but moving all production requires significant effort, including moving equipment and adapting the supply chain.

Switching to Indian manufacturing facilities will allow Apple to escape high tariffs on Chinese imports and avoid significant price increases on final products. The final assembly of smartphones is expected to take place in India, with components sourced from various countries, including China.

However, shifting production comes with risks, including potential supply disruptions and declining iPhone sales in China, which is also one of Apple's key markets. Despite these challenges, Apple is aggressively pursuing its plan and aims to complete the production shift by the end of 2026.

Source: WccfTech