Most iPhones sold in the US now made in India, Apple CEO Tim Cook confirms

Majority of iPhones sold in the US during the last quarter were made in India, Apple CEO Tim Cook has confirmed.

Cook has explicitly confirmed that most iPhones sold in the United States are now manufactured in India.

In Apple’s June‑quarter earnings calls, Cook stated: "The vast majority of the iPhones sold in the US … have a country of origin of India”.

Cook said they'd increase Indian production by 65% this fall. China has been Apple's dominant manufacturing base for years.

But, amid rising tariffs and geopolitical tensions, the tech giant's move to decouple from China marks a significant shift in its global supply chain.

India has become the main hub for iPhone production bound for the US market, while China focuses on non-US regions.

He also revealed that Apple aims to have all iPhones for the American market produced there by the end of 2026.

In the quarter ending June 2025, smartphones assembled in India accounted for about 44% of all US smartphone imports, up from just 13% a year earlier, while China's share fell to 25%.

Apple reportedly incurred roughly $800 million in tariff-related costs in that quarter.

Shifting assembly to India — which currently benefits from tariff exemptions on smartphones — helps Apple mitigate further costs. 

According to Customs data accessed by news agency Reuters, iPhones worth $3.22 billion were exported from India by Foxconn between March and May 2025, with an average of 97% heading to the US market.

This ambitious goal involves scaling production capacity to over 60 million units annually.

Apple's manufacturing partners, including Foxconn and Tata, have been expanding their facilities and workforce in India to meet this demand.

Foxconn alone recently invested nearly $1.5 billion in its Tamil Nadu plant, significantly boosting local production capabilities.

Cook's confirmations shows a pivot to assembly of its best-selling product in India, a production move that began earlier, as part of Apple’s broader “China Plus One” strategy.

This move, however, has drawn criticism from former US President Donald Trump, who has objected to Apple manufacturing iPhones in India instead of the US. 

Apple’s diversification places India as the primary assembly hub for US models, while China continues to serve markets outside the US and Vietnam handles production of other Apple products like iPads, MacBooks, and Apple Watches.

Why is Apple reluctant to move iPhone production to the US?

A number of reasons: It's not easy to move the entire supply chain and production to America, where daily wages are among the world's highest.

Tech industry officials said the concept of Apple producing iPhones in the US is a "fairy tale" that is "not feasible", due to the brutal economics.

If that happens, higher-end iPhones would cost up to $3,500 each if made in America. That's double the current price.

Meanwhile, Apple has been quietly shifting production to India to avoid China tariffs.

In February, Apple announced a $500 billion investment in US manufacturing over 4 years.

They're building a 250,000-square-foot factory in Houston for servers.

Industry watchers, meanwhile, say it’s misleading to say iPhones are made in India.

What happens in India

What still happens outside India

Apple's transition to India for iPhone production is part of a broader effort to reduce reliance on China, a shift that gained momentum after the COVID pandemic exposed vulnerabilities in supply chains heavily concentrated in China.

Additionally, escalating tariffs on Chinese-made electronics entering the US have made production in China less economically viable for Apple.

India's government policies, including the "Make in India" initiative, offer tax incentives, eased import duties on components, and support for high-tech manufacturing, making it an attractive alternative for Apple's assembly operations.

Despite this progress, India still depends on importing critical components such as semiconductors from China, meaning the supply chain is not yet fully independent. Experts suggest that India needs to double its current iPhone output to completely replace Chinese-made devices for the US market.

However, Apple's rapid expansion in India is already reshaping global manufacturing dynamics, with India surpassing China in iPhone exports to the US: 119 million units compared to just 6.8 million from China.

The US administration under President Donald Trump has imposed a 25% tariff on Indian products imported to the US. However, Apple is currently exempt from this duty.

For the June quarter, Apple incurred approximately $800 million of tariff-related costs.

For the September quarter, assuming current global tariff rates, policies, and applications do not change and no new tariffs are added, the company estimates the impact will add about $1.1 billion to its costs.

Nevertheless, Apple continues to invest heavily in India, signalling a long-term commitment to the country as a key manufacturing hub.