Apple is expected to assemble 28% of global iPhone shipments in India by 2026, up from 23% in 2025, according to SAG. The shift reflects Apple’s ongoing supply chain diversification beyond China, driven by geopolitical risks and tariff concerns. India has emerged as a key manufacturing hub, with Apple producing $22 billion worth of iPhones there annually. Indian factories now export over one million AirPods yearly and supply components like PCBAs and mechanical parts to China—reversing traditional supply flows. Apple’s market share in India reached 9% by volume and 28% by value in 2025. The U.S. tariff exemption for electronics allows Indian-made iPhones to avoid additional levies, strengthening India’s strategic role in Apple’s global network.
According to www.moneycontrol.com, Apple is set to assemble 28% of global iPhone shipments in India by 2026, up from 23% in 2025, as the company accelerates its supply chain diversification beyond China.
India’s Growing Role in Apple’s Global Manufacturing
Apple has ramped up its iPhone production in India to an all-time high, assembling devices worth $22 billion over the past year, according to Bloomberg. This marks a significant shift in Apple’s global supply chain strategy, driven by geopolitical risks, tariff concerns, and the need for a more resilient manufacturing network. India is now poised to become a central hub for Apple’s global output, with SAG forecasting India’s share of iPhone assembly to rise from 23% in 2025 to 28% in 2026.
Expansion Beyond Assembly: From Components to Exports
What began as small-scale iPhone assembly has evolved into a full-fledged manufacturing ecosystem in India. The country now exports over one million AirPods annually from a Foxconn facility in India to global markets. Additionally, Indian suppliers are exporting components such as printed circuit board assemblies (PCBAs) and mechanical parts to China—reversing traditional supply chain flows that historically moved goods in the opposite direction.
Government Incentives and Supplier Ecosystem Development
India’s success is supported by government initiatives like the Production-Linked Incentive (PLI) scheme, which has driven local capacity expansion. Tata Electronics is among the key Indian manufacturers expanding production capacity. According to Counterpoint Research, Apple exited 2025 with its highest-ever smartphone market share in India—9% by volume and 28% by value. In the first quarter of 2026, Apple maintained a 9% shipment share in the Indian market.
“SAG forecasts India to assemble 28% of global iPhone shipments in 2026, up from 23% in 2025. The growth is being driven by Apple’s continued diversification beyond China, alongside capacity expansion by existing Indian manufacturers such as Tata Electronics,” — Abhilash Kumar, Analyst at Smart Analytics Global
Strategic Shifts in Tariff and Sourcing Strategy
Apple is expected to prioritize its India supply chain for U.S.-bound iPhone shipments to navigate the new U.S. tariff landscape. The Trump administration announced a temporary exemption for smartphones, computers, and other key electronics from reciprocal tariffs. As a result, iPhones made in India will not face additional levies, while Chinese-made iPhones will see a reduced tariff rate of 20%, significantly lower than the full 145% that would otherwise apply.
- Apple assembled $22 billion worth of iPhones in India over the past year
- India’s share of global iPhone assembly to rise from 23% in 2025 to 28% in 2026
- Over 1 million AirPods have been exported from India to global markets
- Indian suppliers now export PCBAs and mechanical parts to China
- Apple’s smartphone market share in India reached 9% by volume and 28% by value in 2025
Source: www.moneycontrol.com
Compiled from international media by the SCI.AI editorial team.
