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Millions of iPhones airlifted from India in Apple’s tariff escape plan

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Apple airlifted 1.5 million iPhones from India to the US in a strategic transfer to keep away from steep tariffs on China-made gadgets.
Credit score : Shutterstock, Alex PakhoMovie

Apple has quietly airlifted round 1.5 million iPhones from India to the US, in a last-minute transfer to keep away from getting caught within the crosshairs of Donald Trump’s rising import tariffs on China, in line with Reuters.

The tech big chartered six cargo planes, every carrying roughly 100 tonnes of iPhones, out of Chennai airport in southern India — all a part of a broader technique to construct up US stock forward of the tariffs kicking in. The brand new price on China-made electronics soared to 125 per cent this week, in comparison with simply 26 per cent on imports from India.

“They wished to beat the tariff, plain and easy,” stated one insider. And so they had been fast about it. Apple even negotiated with Indian customs to chop clearance occasions from 30 hours to simply six, creating what’s generally known as a ‘inexperienced hall’ on the airport — a mannequin the corporate already makes use of in components of China.

Apple boosts iPhone manufacturing in India amid China shift

With greater than 220 million iPhones offered globally annually, the US stays a prime marketplace for Apple. However with Trump’s aggressive tariffs pushing costs up, the corporate has began to fast-track its pivot away from Chinese language manufacturing — and India is rising as a key participant in that plan.

Based on Counterpoint Analysis, India now accounts for round 20 per cent of iPhones imported into the US, with the remainder nonetheless coming from China. To fulfill the rising demand, Apple pushed for a 20 per cent improve in manufacturing at its Indian factories, operated by Foxconn and Tata. That included working vegetation on Sundays — usually a day without work — and hiring extra employees to ramp up output.

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The Foxconn manufacturing facility in Chennai alone produced round 20 million iPhones in 2023, together with the iPhone 15 and 16 fashions.

US iPhone costs might surge because of rising import tariffs

Whereas Apple hasn’t commented on the airlifts, customs knowledge paints a transparent image: Foxconn’s US-bound exports from India surged to $770 million in January and $643 million in February, greater than doubling the figures from earlier months.

Most shipments landed in Chicago, Los Angeles, New York and San Francisco — hinting at a transparent intent to bolster stock throughout key American markets earlier than costs spike. Analysts had warned that if the tariffs had been utilized to China-made telephones, the top-end iPhone 16 Professional Max may bounce from $1,599 to round $2,300.

For now, the US has granted a 90-day pause on new tariffs — excluding China — giving Apple and different firms a slim window to readjust. However one factor’s clear: India is not simply a part of the backup plan — it’s on the coronary heart of Apple’s future manufacturing map.

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