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Apple is currently making 50% iPhone sold in the US market in India. This file of Trump and Tim Cook is of photo 2024.
US President Donald Trump has asked Apple’s CEO Tim Cook that there is no need to install factories in India. I do not want Apple products to make there. India can take care of itself.
Trump gave information about this conversation with Apple CEO in the program with business leaders in Doha, the capital of Qatar on Thursday. He said that Apple will now have to increase production in America.
At the same time, Trump said that India has offered us the zero tariff deal in trade. He said that India is ready to take any charge in trade from us.
Trump on Thursday informed about the conversation with Apple CEO at an event with business leaders in Doha, the capital of Qatar.
Trump’s full statement
I had some trouble with Tim Cook yesterday. I told him, Tim, you are my friend, I treated you very well, you are bringing 500 billion dollars, but now I am listening that you are production all over India. I do not want you to produce in India. If you want to take care of India, then you can build in India because India is one of the highest tariff countries in the world. It is very difficult to sell in India and they have offered us a deal under which they are ready to recover any tariff from us. I told Tim, Tim, see, we have treated you very well, we have tolerated all the plants you built in China for years, now you have to build in America, we do not want you to build in India. India can take care of itself.
50% iPhone sold in US market is being made in India
Apple’s CEO Tim Cook had recently told in an interview that 50% of iPhones sold in the US market are being made in India. Cook said that India will become the country of origin of iPhones sold in the US in the April-June quarter. He informed that other products like Airpods, Apple Watch are also being made mostly in Vietnam.
6 crore+ iPhones will be made annually in the country by 2026
- According to the Financial Times report, Apple has been working on shifting its supply chain out of there for a long time to reduce its dependence on China.
- If Apple shifts its assembling to India by the end of this year, then from 2026, more than 6 crore iPhone will be produced here annually. This is double the current capacity.
- China is still dominated by the manufacturing of the iPhone. According to the IDC, it was about 28% in the company’s global iPhone shipment in 2024.
60% iPhone production increased from March-24 to March-25
From March 2024 to March 2025, Apple created $ 22 billion (about ₹ 1.88 lakh crore) value in India. It has increased by 60% compared to last year.
During this, Apple exported iPhone of $ 17.4 billion (about ₹ 1.49 lakh crore) from India. At the same time, one in every 5 iPhone worldwide is now being made in India. The manufacturing of the iPhone in India is done in the factories of Tamil Nadu and Karnataka.
Foxconn is the most produced in this. Foxconn is Apple’s largest manufacturing partner. Apart from this, Tata Electronics and Pagtron also manufacturing.
FY $ 8 billion iPhone sale in 2024
Apple’s smartphone sales reached $ 8 billion in FY 2024. While its share in the market was only 8%. The iPhone still remains a luxury in the emerging middle class of India. So the market is expected to grow here.
Why Apple’s focus on India?
- Supply chain diversification: Apple wants to reduce its dependence on China. Problems such as Geopolitical Tension, Trade Dispute and Kovid-19 lockdown felt that it is not right to depend more in one area. In this context, India is proving to be a low risk option for Apple.
- Government incentive: India’s Make in India Initiative and Production Linked Initiative (PLI) schemes provide financial assistance to companies to increase local manufacturing. These policies have encouraged Apple partners like Foxconn and Tata to invest more in India.
- Rising Market Possibility: India is one of the fastest growing smartphone markets in the world. Local production helps Apple to meet this demand more, as well as its market share, which is currently about 6-7%.
- Opportunity for export: Apple exports its 70% iPhone made in India, which gives the benefit of India’s low import tariffs compared to China. In 2024, iPhone exports from India reached $ 12.8 billion (about ₹ 1,09,655 crore). It is expected to increase further in the coming times.
- Skilled Workforce and Infrastructure: India’s Labor Force is behind China in terms of experience, but it is still improving a lot. Apple’s Partner like Foxconn, training employees to meet the production needs and expanding facilities like $ 2.7 billion (₹ 23,139 crore) plant in Karnataka.
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