iPhone Exports From India Surge 33% as Apple Reduces China Reliance
Apple's iPhone exports from India reached nearly $6 billion in the six months through September, representing a 33% increase compared to the same period last year, according to Bloomberg. The growth puts Apple on track to exceed its fiscal 2024 export target of $10 billion from the region.
The increase in exports is a result of Apple's expanding manufacturing network in India, where the company has benefited from local subsidies, skilled labor, and improving technological infrastructure. Apple's three key iPhone suppliers in the country are Foxconn, Pegatron, and Tata Electronics.
Foxconn's Chennai-based unit leads production and accounts for half of India's iPhone exports. Tata Electronics, which acquired Wistron's manufacturing facility last year, exported approximately $1.7 billion in iPhones from its Karnataka factory between April and September.
The growth in iPhone manufacturing has significantly impacted India's export economy, according to the report. Smartphones have become the country's top export to the United States, and reached $2.88 billion in the first five months of the fiscal year – a dramatic increase from just $5.2 million in annual smartphone exports to the US five years ago.
Apple has since deepened its commitment to Indian manufacturing, producing iPhone 15 Pro models in the country. Apple has also expanded its retail presence by opening stores in Mumbai and New Delhi, which contributed to record annual revenue of $8 billion in India through March.
Apple's manufacturing expansion in India underlines Apple's strategy to diversify its supply chain and reduce its dependence on China, where geopolitical tensions with the US and economic challenges remain. That said, China remains Apple's primary manufacturing hub, and the company has also significantly expanded its research and development capabilities in what is the world's largest smartphone market.
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