Apple May Shift iPhone Output Back to U.S.

Moz Farooque

Thu, May 15, 2025, 11:17 AM 2 min read

Apple (NASDAQ:AAPL) faces unit arsenic Trump urges halt to India manufacturing.

U.S. President Donald Trump said helium told CEO Tim Cook successful Qatar, I don't privation you gathering successful India, aft learning Apple plans to diversify iPhone assembly beyond China. Trump argued that India's precocious tariff barriers marque it pugnacious to merchantability U.S. goods there, and helium noted New Delhi has offered to chopped import taxes arsenic portion of broader commercialized talks.

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Bloomberg News reported that pursuing the discussion, Apple volition beryllium upping their accumulation successful the United States, though details astir immoderate timeline oregon measurement shifts stay unclear.

Apple inactive makes the bulk of its iPhones successful China, but shipments from India climbed to correspond 26% of U.S. iPhone deliveries successful Q1 2025, up from 16% a twelvemonth earlier, per Counterpoint Research.

Meanwhile, China's stock dipped to 52% from 56% implicit the aforesaid period. Last week, India approved Foxconn's $435 cardinal fabrication plant, targeting a installation successful confederate India wherever astir India-made iPhones are assembled.

Tata Group's electronics armwhich present operates Pegatron's erstwhile Wistron sitealso contributes to section output, helping Apple standard accumulation by astir 60% year-over-year to astir $22 cardinal successful the 12 months done March.

Apple and the White House person not commented connected record, and Trump's remarks travel arsenic planetary manufacturers measurement geopolitical risks successful their supply-chain strategies. Any ceremonial U.S. argumentation alteration oregon enforcement bid could unit Apple to rethink its multi-country sourcing approachpotentially delaying India's afloat adoption arsenic a cardinal iPhone hub.

Why it matters: A displacement backmost toward U.S. assembly could rise Apple's costs and margins, portion slowing its India enlargement amid booming section demand.

Investors volition ticker Apple's June 4th net and immoderate follow-up guidance connected accumulation footprint adjustments.

This nonfiction archetypal appeared connected GuruFocus.