Highlights

• Apple reportedly plans to import nearly all U.S. iPhones from India by 2027.
• This would require India to produce over 60 million iPhones per year.
• Apple accelerated its shift away from China due to high tariffs (up to 145%) and U.S. trade policies.
• The transition helps Apple reduce reliance on China, though changing U.S. trade policies could impact plans before 2027.

Caption – All iPhone imports for the US market will be from India by 2027. (Image credit – Apple)

Apple is planning a major change in how it supplies iPhones to the U.S. According to Bloomberg and The Financial Times, the company wants to import nearly all iPhones sold in the U.S. from India instead of China by the end of 2027.

To pull this off, India would need to produce over 60 million iPhones per year just to meet U.S. demand. That means Apple’s total iPhone output in India would need to double, reaching around 80 million units annually.

Apple had already started shifting some production away from China before the Trump administration. But the trade war and recent tariffs have really sped things up. Back in February, when President Trump introduced plans for reciprocal tariffs, Apple’s India-based iPhone production saw a sharp boost.

According to a recent Reuters report, “Apple has already stepped up production in India to beat U.S. President Donald Trump’s tariffs, shipping some 600 tons of iPhones worth $2 billion to the United States in March. The shipments from India marked a record for both its contractors Tata and Foxconn, with the latter alone accounting for smartphones worth $1.3 billion.”

At one point, Apple was hit with tariffs as high as 145% on iPhones imported from China. While there’s currently a tariff exemption for smartphones, Chinese-made iPhones are still subject to a 20% tariff, while iPhones from India aren’t taxed at all under current rules.

Of course, U.S. trade policies change often, so things could look different by late 2027. Still, this move helps Apple diversify its supply chain, which is a smart play in an unpredictable global trade environment.

FAQs

Q1. Why is Apple shifting U.S. iPhone imports to India?

Answer. Apple plans to import nearly all U.S. iPhones from India by 2027, aiming to diversify its supply chain and reduce reliance on China.

Q2. What role do tariffs play in the recent change in Apple’s plans?

Answer. Apple faced high tariffs (up to 145%) on Chinese-made iPhones, while Indian-made iPhones currently aren’t taxed at all under U.S. trade rules.

Q3. How many iPhones will India need to produce for this transition?

Answer. India must produce over 60 million iPhones per year to meet U.S. demand, requiring total iPhone output in India to reach 80 million annually.

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