Apple boosted iPhone production in India by about 53% last year and now makes a quarter of its major devices there, avoiding tariffs in China, according to Bloomberg.
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Apple assembled about 55 million iPhones in the country in 2025, up from 36 million the previous year, according to publication sources. This shift is part of Apple’s broader effort to reduce risk from US‑China trade tensions and to lessen dependence on a single country for production.
Apple manufactures about 220 to 230 million iPhones worldwide. A Canalys report last year said that India has surpassed China as the top manufacturer of smartphones shipped to the United States.
The California-based company has heavily relied on production incentives linked to the production of Prime Minister Narendra Modi, which aim to turn India into a world factory. Subsidies have helped offset some of the structural cost disadvantages faced by manufacturers in India, including the lack of a strong supply chain like China's and accounting challenges, according to Bloomberg.
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Although the cost gap has narrowed, the assembly of electronics and the manufacturing of components in India remains more expensive than in countries such as China and Vietnam. To offset this, companies such as Apple and Samsung continue to push for additional government support.
The companies are currently in talks with the Indian government about a new round of incentives aimed at boosting export growth. The report notes that existing production subsidies for smartphones in India are set to expire on March 31, and with the US Supreme Court recently overturning certain tariffs affecting China, officials in New Delhi are under pressure to act quickly to ensure the country remains cost‑competitive.
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Apple now assembles all models of the latest iPhone 17 series in India, including the most expensive Pro and Pro Max editions. Production partners in the country – including Foxconn, Tata Electronics and Pegatron – also produce older devices such as the iPhone 15 and iPhone 16 for domestic sales and export markets.
