Reuters has revealed a significant shift in Apple’s global supply chain. Between March and May 2025, nearly all iPhones exported from Foxconn’s Indian factories were shipped directly to the United States. The report highlights Apple’s efforts to reduce exposure to Chinese tariffs by fast-tracking production and exports from India, with volumes surpassing the full-year total for 2024 in just 5 months.
According to customs data reviewed by Reuters, Foxconn exported $3.2 billion worth of iPhones from India between March and May 2025, with an average of 97% of shipments headed to the United States. This marks a steep increase from the 50% monthly average seen throughout 2024.
Reuters noted that Indian-made iPhones, which were previously distributed across Europe, including countries like the Netherlands, the Czech Republic, and Britain, are now almost exclusively US-bound. This change is closely tied to escalating trade tensions and tariff announcements from Washington.
The redirection of exports comes as the United States prepares to raise tariffs on Chinese imports. Reuters quoted former US President Donald Trump stating that China “will face 55% tariffs” if a proposed plan to revise duties gains final approval. Apple’s strategy to rely on Indian manufacturing appears to be a direct response to these looming costs.
Reuters reported that Foxconn shipped nearly $1 billion worth of iPhones to the United States in May 2025 alone — the second-highest monthly total after the $1.3 billion recorded in March. Cumulatively, $4.4 billion worth of iPhones were exported to the US in the first 5 months of the year, already exceeding the $3.7 billion shipped in all of 2024.
Reuters previously reported that in March 2025, Apple chartered cargo planes to deliver iPhones directly from India to the United States. This included models such as iPhone 13, 14, 16 and 16e, worth around $2 billion. To support this accelerated movement, Apple urged Chennai airport authorities to reduce customs clearance times from 30 hours to 6.
Foxconn is not alone in this strategic shift. Reuters highlighted that Tata Electronics — another Apple supplier in India shipped an average of 86% of its iPhones to the US between March and April 2025. This is a significant increase from its 2024 average of 52%, reinforcing the broader shift in export strategy.
India is positioning itself as a major global hub for smartphone manufacturing. However, Reuters noted that high import duties on components remain a challenge, making local assembly more expensive than in several other manufacturing nations. Despite this, recent export trends show that India is becoming increasingly vital to Apple’s production strategy.
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Historically, approximately 80% of iPhones sold in the United States were manufactured in China. As per Reuters, with over 60 million iPhones sold annually in the US, the recent data points to a changing equation where India is no longer a secondary hub, but a crucial node in Apple’s global operations.
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Published on: Jun 13, 2025, 3:49 PM IST
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