Chinese shipments of iPhones and other mobile devices to the United States dropped dramatically in April, hitting their lowest levels since 2011, according to newly released customs data (via Bloomberg).
Smartphone exports from China to the US plummeted 72% to just under $700 million last month, outpacing the overall 21% decline in Chinese shipments to the United States. The sharp decline highlights how the Trump administration's aggressive tariffs campaign – which peaked with 145% levies on Chinese goods – is disrupting tech supply chains and diverting electronics production elsewhere.
Smartphones represented one of the three biggest US imports from China last year, alongside laptops and lithium-ion batteries.
The decline comes as Apple has been actively expanding production in India. In the fiscal year ending March, Apple's iPhone production in India reached $22 billion, a nearly 60% increase compared to the previous year. The company had been planning to import most US-bound iPhones from India by the end of next year.
However, during his recent state visit to Qatar, President Trump revealed he had asked Apple CEO Tim Cook to halt the company's manufacturing expansion in India. "I had a little problem with Tim Cook yesterday," Trump said. "He is building all over India."
When asked about the supply chain's future during the company's recent earnings call, Cook said: "What we learned some time ago, having everything in one location had too much risk with it. We have, over time, with certain parts of the supply chain, opened up new sources of supply. You could see that kind of thing continuing in the future."
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