Big Win for Make in India! Foxconn Exports Apple iPhones Worth Rs 28,000 Crore From India — 97% Headed To US

In a development that has enabled India to become a global electronics export hub, nearly 97% of iPhones assembled by Foxconn in India over the past year were shipped to the United States, according to a report by Reuters. The move enables the US electronics major to diversify production away from China while insulating itself from US import tariffs that originated during the Trump administration.

What is built in India?

The iPhones, largely premium models like the iPhone 14 and 15, are built at Foxconn’s facility in Sriperumbudur, Tamil Nadu. Between April 2023 and March 2024, the Taiwanese contract manufacturer is understood to be enhancing its its exports dramatically-marking a shift in India’s role from just a growing consumer market to a critical node in Apple’s global logistics chain.

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Value of shipments boom

As per the customs data reviewed by Reuters, Foxconn exported iPhones worth $3.2 billion (Rs 28,000 crore) from India during March-May, with 97% earmarked for the US market. This is a sharp rise from the 50.3% average seen through the rest of 2024, when India-made iPhones were also being sent to markets like Europe and the UK.

The newswire agency also figured that May alone saw nearly $1 billion worth of Indian-assembled iPhones shipped to the US, second only to the record $1.3 billion in March.

While Apple declined to comment, Foxconn did not respond to queries sent by Reuters.

US-China trade war benefitting India 

This realignment comes against the backdrop of heightened trade tensions between the United States and China. Former U.S. President Donald Trump recently proposed a 55% tariff on Chinese imports, which, if enacted, would further inflate the cost of China-assembled iPhones in America. India, by contrast, currently faces a standard 10% US tariff.

To expedite shipments, Apple has reportedly used chartered flights to move India-assembled iPhones, including models like the iPhone 13, 14, and upcoming 16 series. It is also urging Indian authorities to streamline customs clearance at Chennai airport, a key export hub.

Tata Electronics, a newer iPhone supplier, also ramped up exports to the US., shipping out over 85% of its output to the market in recent months.

Industry analysts project that by 2025, one in every four iPhones globally will be made in India—up from 18% in 2024—further solidifying the country’s role in Apple’s China-plus-one strategy.