Apple fast-tracks iPhone production shift from China to India, targets full transition by 2026: Report

Apple is accelerating efforts to move the manufacturing base for US-bound iPhones from China to India, targeting a complete transition by the end of 2026.

This ambitious plan, which is aimed at mitigating risks from ongoing US-China trade tensions, includes the trial production of the iPhone 17 series already underway in India, the business news portal Moneycontrol reported.

As per the report, Apple's plans to diversify its manufacturing faces fresh hurdles. The primary hurdle is coming from China, which has begun delaying or blocking the export of critical manufacturing equipment destined for India, potentially complicating Apple's plans to scale production quickly.

The report further claimed that Apple intends to produce over 60 million iPhones annually in India to meet US demand alone. The Financial Times was the first to report on Apple’s strategic shift.

In fact, Apple’s seriousness to beat the tariffs imposed by US President Donald Trump was evident when it chartered flights to ship 1.5 million iPhones from India to the US, both to avoid tariff costs and to test whether Indian production lines could handle sudden spikes in demand.

The success of this trial reinforced Apple's confidence in expanding its Indian manufacturing footprint.

The final call to shift all US-focused assembly operations hinges on the progress of trade discussions between Washington and Beijing, however. President Trump has long pushed for American companies like Apple to reduce their dependence on China, while hinting at ongoing tariff negotiations between the two superpowers.

In India, Apple’s ambitions have found an encouraging environment. Contract manufacturers like Foxconn are aggressively expanding capacity, with a major new plant in Bengaluru expected to go live within weeks, capable of producing up to 20 million devices annually at peak.

Apple’s presence in India has grown from a cautious entry to a strategic cornerstone of its global ambitions. Initially focused on premium retail and distribution, the company’s footprint expanded dramatically after it began assembling iPhones locally in 2017 under the government’s ‘Make in India’ push. Today, India is not just a growing market for Apple’s products but a vital manufacturing hub.

Apple’s contract manufacturers — Foxconn, Pegatron, and Wistron (whose India unit was acquired by Tata) — have rapidly scaled production facilities, particularly in Tamil Nadu and Karnataka. In 2025, as per claims made by Minister for Electronics and IT, Ashwini Vaishnaw, Apple assembled iPhones worth $22 billion in India, with exports contributing over $17 billion, highlighting the country’s rising importance in Apple's global supply chain.

The tech giant is also deepening its retail presence, opening flagship Apple Stores in Mumbai and Delhi while strengthening online sales channels. India, with its rising middle class and growing demand for premium smartphones, is now one of Apple’s fastest-growing markets, even as its overall market share remains relatively small compared to Android rivals.