Despite a minor decline from the March peak of ₹19,630 crore, which was fueled by Apple’s attempts to front-load shipments to the US ahead of expected tariff deadlines, India’s iPhone production stabilized at over ₹15,000 crore in May 2025, indicating a strong and sustained manufacturing tempo. The fact that this May output is still significantly more than the ₹10,000–11,000 crore monthly average for 2024 highlights India’s rising importance in Apple’s global supply chain.
Apple’s Indian suppliers manufactured ₹84,000 crore worth of iPhones at the end of May, which already matched the whole amount used domestically in 2024. Unless there are major geopolitical upheavals, industry experts predict that the monthly production rate would remain stable around ₹15,000 crore for the rest of 2025. Rising domestic demand and Apple’s strategic aim to use India as a major export center are both responsible for this consistent rate, particularly as the corporation looks to diversify away from China in the face of continued trade concerns between the US and China.
After acquiring Wistron’s Karnataka factory and a 60% stake in Pegatron’s Indian operations, Tata Electronics has greatly boosted its part of iPhone production, now making up 35% of India’s output. With a 65% market share, Foxconn is still the leading company, but Tata’s explosive growth suggests that the competitive environment among Apple’s Indian suppliers is changing. India’s production-linked incentive (PLI) program has helped both businesses by increasing local manufacturing capacity and drawing in more investment.
US President Donald Trump’s threats to impose tariffs on iPhones built in India were a major factor in the March production spike, which forced Apple to expedite shipments to the US ahead of the original April deadline—later rescheduled to July. Long-term planning is still hampered by the uncertainties surrounding upcoming trade talks between the US and China and India. Trump has threatened to impose a 25% tariff on Apple unless it manufactures in the US. Due to increased labor and operating expenses, analysts estimate that iPhone prices may increase by at least 15% to 20% if Apple were to move production to the US.
It is anticipated that Apple’s manufacturing operations in India will expand in spite of these difficulties. After selling about 11 million iPhones in 2024, local shipments are expected to increase by 15% in 2025. According to Apple CEO Tim Cook, by the end of this year, a sizable amount of the US iPhone market would be supplied by Indian manufacturing. With plans to treble manufacturing and perhaps provide 32% of the world’s iPhones by 2026–2027, India’s share of iPhone manufacture is expected to reach 20% in 2025.
Thanks to encouraging government policies, Apple’s strategic realignment in response to changes in global trade dynamics, and both domestic and export demand, India’s iPhone production has stabilized at a historically high level. Although it depends on the outcome of ongoing trade negotiations and the changing geopolitical environment, the sector’s prognosis is still optimistic.
