Apple will mark a turning point with the launch of the iPhone 17. For the first time, the company will ship all models simultaneously from both India and China, underscoring its push to reduce dependence on Chinese manufacturing. This milestone follows years of gradual expansion in India, where production once lagged weeks behind China.
India Becomes a Core Manufacturing Hub
The shift is the result of Apple’s steady investment in India’s manufacturing base. Two new factories have recently opened, bringing the total number of iPhone plants in the country to five. Tata Group and Foxconn lead this expansion, with Tata expected to account for nearly half of India’s iPhone output within the next two years. In the four months starting April, India exported $7.5 billion worth of iPhones, reflecting the growing scale of its role in Apple’s supply chain.
This strategy aligns with Apple’s long-term goal of producing half of all iPhones in India by 2027. In 2021, China assembled 99% of iPhones worldwide. By last year, that figure had dropped to 81%, with India taking on an increasingly larger share of production.
Tariffs and Trade Pressures Accelerate Change
Bloomberg reports that Apple has now achieved its goal of parallel production, with all iPhone 17 models, including pro-level versions, set to ship from India and China at launch. This move is also shaped by US tariffs on Chinese goods. By shifting more production to India, Apple reduces the risk of trade penalties and secures its US supply chain.
The expansion includes facilities in Tamil Nadu’s Hosur and near Bangalore airport. According to Bloomberg, Apple and Tata declined to comment, while Foxconn did not respond to requests.
The diversification effort has not been without friction. China has pushed back against technology transfers to India, and Foxconn has recalled some Chinese engineers from Indian plants. Apple has responded by bringing in replacements from Taiwan and Japan, keeping production on track despite higher costs.
Apple’s move signals more than a supply chain adjustment. It reflects a rebalancing of global manufacturing in response to geopolitical uncertainty, with India emerging as the centerpiece of its iPhone strategy.
