New Delhi – July 31, 2025
Former U.S. President Donald Trump’s renewed pledge to impose a 25% tariff on Indian imports, should he return to office, has sparked concern in some trade circles. But industry experts say the move is unlikely to significantly disrupt Apple’s expanding iPhone manufacturing operations in India.
Apple, in partnership with Taiwanese suppliers such as Foxconn, Pegatron, and Wistron, has ramped up production in India over the past three years. The tech giant’s strategy is part of a broader shift to diversify its supply chain and reduce its heavy reliance on Chinese manufacturing.
“India isn’t just a cost center for Apple—it’s a geopolitical hedge,” said a senior analyst at a U.S.-based consultancy tracking global electronics production. “Even if a future tariff impacts Indian goods bound for the U.S., Apple’s footprint in India is mostly aimed at the domestic and regional markets.”
Currently, a large proportion of iPhones assembled in India are sold within the country or shipped to nearby Asian and Middle Eastern markets. Finished units for U.S. consumers continue to be largely manufactured in China or Vietnam.
The proposed tariff, while headline-grabbing, would require Congressional alignment and could face challenges at the World Trade Organization. Indian officials have yet to respond officially but have in the past resisted retaliatory action to avoid damaging trade relationships.
While Indian exporters across other sectors—such as textiles and pharmaceuticals—may face sharper impacts from any future tariffs, Apple’s India plan appears steady. The company recently committed to additional investment in new manufacturing lines in Tamil Nadu and Karnataka.
“Even under adverse conditions, Apple won’t abandon India. The long-term calculus goes far beyond trade politics,” said a trade economist based in New Delhi.
For now, Apple continues to expand operations and local hiring in India, as the country cements its role as a key player in the global electronics supply chain.
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