Apple Now Manufactures 25% iPhones in India

Mumbai, March 10: Apple has reached a historic milestone in its global manufacturing strategy, with one in every four iPhones now being produced in India. According to a recent Bloomberg report, the tech giant manufactured approximately 55 million units in India during 2025, accounting for roughly 25% of its total global output of 220 million to 230 million devices. This achievement fulfills a long-term forecast made by JPMorgan in 2022 and marks a 53% year-on-year increase in local production capacity.

The rapid scaling of operations in India comes as Apple seeks to reduce its historical reliance on Chinese factories amidst escalating trade tensions and shifting U.S. tariff policies. For the first time, Apple began assembling its entire latest lineup—including the premium iPhone 17 Pro and Pro Max models—in India ahead of their global launch last fall. CEO Tim Cook recently confirmed that the majority of demand for iPhones in the United States is now being fulfilled by these India-made units. iPhone 18 Pro Max Price, Release Date and Specifications and Features.

Geopolitical Pressures and Manufacturing Expansion

The shift to India has been accelerated by a "Production-Linked Incentive" (PLI) scheme from the Indian government, which provides subsidies to offset structural cost disadvantages. This diversification proved critical in 2025 as Apple faced increasing uncertainty in China due to volatile trade regulations. The transition has not been without political friction; during a business summit in Doha in May, U.S. President Donald Trump reportedly cautioned Cook against further expanding the company's manufacturing footprint in India.

Apple's local manufacturing ecosystem now involves a network of over 45 suppliers, spearheaded by Foxconn, Pegatron, and Tata Electronics. Notably, the Tata Group has emerged as a primary partner, with projections suggesting its facilities could account for up to half of India's total iPhone output within the next two years. The company is also beginning to deepen its local supply chain to include the production of lithium-ion cells and device enclosures.

India Emerges as a Key Consumer Hub

Beyond manufacturing, India has evolved into a vital revenue engine for Apple. Total iPhone sales in the country surpassed $9 billion (approximately INR 75,600 crore) last year, driven by a 9% year-on-year growth in shipments to 14 million units. This surge in upscale consumption has prompted Apple to expand its physical retail presence, with the company opening its sixth Indian store just last month.

The integration of Apple’s ecosystem is set to deepen further with the anticipated launch of Apple Pay in India by mid-2026. The company is reportedly in advanced discussions with major private lenders, including HDFC Bank, ICICI Bank, and Axis Bank, to bring the service to the domestic market. Regulatory hurdles were recently cleared following new rules from the Reserve Bank of India (RBI) that permit biometric authentication methods like Face ID for digital transactions.

Future Outlook and Infrastructure

Despite the progress, manufacturing in India remains more expensive than in hubs like China or Vietnam due to logistics and a still-developing component supply chain. Apple and its partners are currently in negotiations with New Delhi for a new round of export incentives, as current production subsidies are set to expire on March 31, 2026. iPhone 17e Price in India, Specifications and Features.

The long-term strategy for the Cupertino giant is to establish India as its second major global manufacturing base. With the "halo effect" of local production boosting brand loyalty, analysts expect Apple to maintain its momentum in the Indian premium smartphone segment, which reached record levels in the most recent December quarter.

(The above story first appeared on LatestLY on Mar 10, 2026 05:59 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).