A brand new plant making iPhones in southern India has began manufacturing and one other will start shipments in May, as Apple seems to be to spice up manufacturing past its tariff-hit principal manufacturing hub, China, sources stated.
Apple is positioning India instead manufacturing base to China as a commerce battle flares between Washington and Beijing, with US President Donald Trump’s greater than one hundred pc tariffs on China threatening provide chain disruptions and stoking fears of an increase in iPhone costs.
The Trump administration has thus far spared China-made electronics from tariffs, however Washington has signaled that some levies might come within the coming weeks.
A brand new Tata Electronics plant in Hosur in south India’s Tamil Nadu state began operations in current days to make older iPhone fashions on one meeting line, one supply stated.
Another $2.6 billion plant run by Taiwan’s Foxconn that’s beneath building in Bengaluru, Karnataka state, will even begin preliminary operations with one meeting line inside days, in response to 4 sources, together with one authorities official.
One supply stated round 300-500 iPhone items per hour might be made on the manufacturing facility the place, in response to one other, iPhone 16 and 16e fashions will likely be produced. The plant is predicted to create 50,000 jobs at full capability when building is absolutely accomplished, which is predicted by December 2027.
Tata declined to remark, whereas Apple and Foxconn didn’t instantly reply to requests for remark.
China accounts for greater than 75 % of iPhone manufacturing globally, whereas India contributes to about 18 %, analysis agency Counterpoint estimates. Apple is taking pressing steps to maneuver manufacturing of most of its US-sold iPhones to factories in India by the tip of 2026, Reuters has reported.
Apple in current weeks has stepped up manufacturing in India to beat US tariffs, delivery some 600 tons of iPhones value $2 billion (roughly Rs. 16,900 crore) to the US in March, a month-to-month report for each Tata and Foxconn, with the latter alone accounting for smartphones value $1.3 billion (roughly Rs. 10,987 crore).
Tata, a comparatively new Apple provider, has rapidly emerged as a key Indian contractor. With the brand new amenities, Foxconn and Tata will collectively function a complete of 5 iPhone factories from India.
© Thomson Reuters 2025