Apple’s shipments of iPhones from India to the US rose 76% year on year to an estimated 3 million units in April, according to Canalys figures compiled by Omdia.
This growth follows Apple’s pivot to India following Trump’s imposition of tariffs on China. In the same period, shipments from China to the US dropped 76% to 900,000 units
This reversal between Indian and Chinese export volumes to the US is the result of Apple’s effort to insulate itself from geopolitical instability characterized by the ongoing trade war between the US and China.
Trump had threatened a 25% tariff on iPhones made outside US in April in addition to key imports including tech hardware.
Apple’s Manufacturing Drive in India
Apple first started ramping up Indian manufacturing during the COVID-19 pandemic, as part of a broader effort to diversify its supply chain.
As a result of this pivot, In March, India overtook China in iPhone shipments to the US for the first time, and in April the trend continued.
Despite this recent surge, India’s current manufacturing capacity is not yet large enough to fully replace China.
US iPhone demand averages around 20 million units per quarter, and India is expected to meet that level only by 2026.
Chinese Resistance
China has however not taken Apple’s pivot lightly as the country has been restricting the export of advanced machinery and talent needed to support Apple’s Indian suppliers.
This could complicate efforts to build a more independent production ecosystem in India.
Although Apple CEO Tim Cook reiterated in early May that most iPhones sold in the US would be manufactured in India, the company is still reliant on Chinese inputs and supply chain infrastructure.
Analysts say the company is walking a fine line between managing trade risks from the US and retaining critical components sourced from China.
