Apple’s growing reliance on India as a manufacturing hub could shield the company from potential new tariffs on Chinese imports if Donald Trump wins the 2024 U.S. presidential election. According to a Bloomberg report, iPhones assembled in India may be excluded from Trump’s proposed 60% tariffs on Chinese-made goods.
This development highlights the long-term benefits of Apple’s strategic supply chain shift away from China. Since 2020, Apple has ramped up production in India through key suppliers like Foxconn, Pegatron, and Wistron (now owned by Tata). The move has helped diversify manufacturing risks while also serving India’s domestic market and meeting export demand.
Apple’s India-made iPhones could be spared
Under the Trump campaign’s plans, Chinese imports could face significant tariff hikes, including electronics. However, devices exported from India would not be subject to these tariffs if the country is not labeled a “foreign adversary.” The report notes that U.S. officials are currently reviewing trade policies but that India is unlikely to be affected by such designations.
This would give Apple a major advantage. Around 14% of iPhones are now produced in India, a number expected to increase sharply in the coming years. If Trump returns to office and imposes new trade restrictions, Apple’s Indian manufacturing could keep supply chains stable and pricing competitive in the U.S. market.
Apple has invested heavily in building up local capabilities in India. The country now handles iPhone assembly, component sourcing, and logistics for both domestic and international markets. Apple’s exports from India reportedly exceeded $12 billion in fiscal 2024, a sign of how central the country has become to its global operations.
The possibility of avoiding tariffs further strengthens Apple’s motivation to deepen its presence in India. The company has already opened retail stores in Mumbai and Delhi and is expanding local partnerships to scale production of newer models like the iPhone 16.
If Trump’s tariff proposal materializes, companies still reliant on Chinese production may face higher costs and slower logistics. Apple’s diversification, on the other hand, puts it in a stronger position to adapt quickly to geopolitical changes. India could emerge not just as an alternative, but a primary production base for Apple over time.
This also sends a broader message to the tech industry: future-proofing global supply chains increasingly requires geographic flexibility. Apple’s India strategy may be about to pay off sooner than expected.
