97% of iPhones exported from India went to the US between March and May: Report

Recent customs data indicates that nearly all iPhones exported from India by Foxconn between March and May were sent to the United States. This development highlights a notable pivot in Apple's export strategy, aimed at navigating high tariffs on Chinese goods. According to the data analyzed by Reuters, 97% of these exports were directed towards the US market, a significant increase compared to previous years when Indian-assembled iPhones were shipped to various countries, including the Netherlands, the Czech Republic, and the UK. Between March and May 2025, Foxconn exported iPhones valued at $3.2 billion (approximately ₹27,547 crore) from India, a sharp rise from the 2024 average of just over 50% destined for the US. In May 2025 alone, nearly $1 billion (around ₹8,608 crore) worth of iPhones were exported from India to the US, following a record $1.3 billion (₹11,191 crore) in shipments during March. While Apple refrained from commenting on these figures, Foxconn did not respond to inquiries from Reuters. This increase in shipments comes amid escalating trade tensions between the US and China. Recently, former US President Donald Trump proposed a 55% tariff on Chinese goods, pending governmental approval. In contrast, India is subject to a standard 10% import tariff and is working to avoid a proposed 26% reciprocal tariff that Trump announced earlier. In the first five months of 2025, Foxconn's exports of iPhones from India to the US reached $4.4 billion (₹37,878 crore), already exceeding the total of $3.7 billion (₹31,844 crore) recorded for the entirety of 2024. To facilitate these shipments and mitigate tariffs, Apple has ramped up its manufacturing capabilities in India. In March, the tech giant even chartered planes to transport iPhone models worth around $2 billion (₹17,213 crore) directly to the US. Furthermore, Apple has lobbied for reduced customs clearance times at Chennai Airport, a key export hub, aiming to cut the time from 30 hours down to just six. Analysts predict that made-in-India iPhones could constitute 25% to 30% of global shipments by 2025, up from 18% in 2024. In related developments, Tata Electronics, another supplier for Apple in India, reported that 86% of its iPhone production was shipped to the US during March and April. However, the company has only recently entered the export market, beginning its shipments in July 2024. Despite the push for India to become a global smartphone manufacturing hub under Prime Minister Narendra Modi, high import duties on components present ongoing challenges, making local production more expensive compared to other countries. Historically, a significant portion of iPhones sold in the US—around 80%—has been produced in China, where annual sales exceed 60 million units.