NEW DELHI: Apple CEO Tim Cook announced on May 2 that the majority of iPhones to be sold in the United States during the June 2025 quarter (April to June 2025) will be manufactured in India.
Speaking during the company’s second-quarter earnings call, Cook also noted that China would remain the primary manufacturing base for most Apple products sold outside the U.S.
Cook’s comments gain significance following a 'Financial Times' report stating that Apple plans to shift all iPhone production for the US market to India starting in 2026.
The move is believed to be driven by lower reciprocal tariffs on Indian-made products compared to those from China and Vietnam.
However, Cook emphasised that his remarks were limited to the current quarter and did not provide guidance for future quarters.
“The existing tariffs that apply to Apple today are based on the product's country of origin as you alluded to. For the June quarter, we do expect the majority of iPhones sold in the U.S. will have India as their country of origin and Vietnam to be the country of origin for almost all iPad, Mac, Apple Watch, and AirPods products sold in the US,” Cook said.
Currently, China dominates global phone production, accounting for 76.6% of the total supply. Vietnam contributes 9.9%, India 8.4%, and South Korea 1.2 per cent.
According to S&P Global Market Intelligence, 81.9% of iPhones exported from India between December 2024 and February 2025 were shipped to the U.S.
In March 2025, that figure surged to 97.6% following a 219% jump in exports -- likely a result of Apple expediting shipments to get ahead of expected U.S. tariffs.
The spike in Indian-made iPhone shipments to the U.S. in the June quarter is also attributed to Apple airlifting around 1.5 million units before the announcement of reciprocal tariffs by the U.S. President.
According to sources, Apple took proactive steps to avoid the impending tariffs by transporting approximately 600 tons of iPhones from India.
Since March, six cargo jets, each with a capacity of 100 tons, have flown this route, including one flight departing recently.
Meanwhile, Apple sold 75.9 million iPhones in the U.S. in 2024.
In March alone, exports from India amounted to about 3.1 million units.
Cook also highlighted record sales across several countries and regions, including India, and announced that Apple will open new retail stores in India later this year.
Apple began producing iPhones in India through contract manufacturers in 2017, initially focusing on basic models, and started assembling Pro models in 2022.
According to available data, Apple assembled $22 billion worth of iPhones in India in FY 2024–25, marking a 60% increase from the previous year. As a result, India now produces 20% of Apple’s total iPhones, or one in every five devices.