Apple says reports to create most American iPhones in India by 2026
Apple is interacting with contract manufacturers Foxconn and Tata to achieve this goal.
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Apple Aapl.o aims to sell most of its iPhones in the United States in factories in India by the end of 2026, and is intensifying those plans to potentially navigate high tariffs in China, its main manufacturing base, a formula told Reuters. The US tech giant contract makers are immediate conversations with Foxconn 2317.TW and Tata to achieve that target, the person who was refused to designate as a plan process, is confident, said on Friday.
Apple and Foxconn did not immediately respond to the remarks requests, while Tata refused to comment.
Apple sells more than 60 million iPhones per year in the US, currently 80 per cent made in China. Prime Minister Narendra Modi has promoted India as a smartphone manufacturing center in recent years, but high duties on import of mobile phone parts than many other countries means that it is still expensive for companies to produce in India.
For iPhones, manufacturing costs in India are 5-8 percent higher than China, the difference in some cases has increased by 10 percent, the formula said. Apple has already carried forward production in India to defeat US President Donald Trump’s tariff, shipping some 600 tonnes of $ 2 billion in the United States in March. India’s shipment marked a record for both its contractors Tata and Foxconn, with a later accounting for a $ 1.3 billion smartphone alone, Reuters reported last week.
In April, the US administration implemented 26 percent of duties on imports from India, at that time more than 100 percent of China was facing China. Washington has stopped most of the duties for three months, except China.
Trump’s administration has ever indicated openness to increase the trade war between the two largest economies in the world which has feared a recession.
Financial Times first spoke about Apple’s plan on Friday.
As Apple brings diversity in its manufacturing beyond China, it has deployed India for an important role. Foxconn and Tata, its two main suppliers, all have three factories, two of which are being built.