Business APAC
May 22, 2025
In a major shakeup of global manufacturing dynamics, India is fast becoming the “New China for Apple.” The tech giant assembled iPhones worth over $22 billion in India in FY 2024–25, marking a 60% surge compared to the previous fiscal year.
This strategic shift highlights Apple’s serious pivot away from its traditional manufacturing base in China, driven by geopolitical tensions, supply chain vulnerabilities, and the growing need for diversification.
“India is not just an alternative to China — it’s emerging as a central pillar in Apple’s global strategy,” says Neil Shah, Vice President at Counterpoint Research. (Source)
Foxconn Leads the Way with Billion-Dollar Bet
Apple’s largest manufacturing partner, Foxconn, is investing $1.5 billion to scale up its operations in India. The company is currently building a 300-acre iPhone production campus in Devanahalli, Karnataka, complete with housing for over 30,000 workers.
This site will be a game-changer, mirroring the scale and capability of Foxconn’s sprawling Chinese factories in Zhengzhou, often referred to as “iPhone City.”
Interesting Fact: India now accounts for 14% of all iPhones made globally, up from just 7% two years ago.
Trump Reacts, But Apple Stays the Course
Apple’s move hasn’t gone unnoticed politically. In a recent statement, former U.S. President Donald Trump criticized the company for shifting more production to India instead of bringing it back to America.
“I told Apple — stop making iPhones in India. We want jobs in the U.S.” — Trump, via NY Post
Despite the pushback, Apple appears committed to its India-first expansion. According to Bloomberg, the company aims to produce most iPhones for the U.S. market in India by the end of 2026.
Why India? A Perfect Storm of Opportunity
India offers Apple several compelling advantages:
- Cost-effective labor
- Young, skilled workforce
- Production-Linked Incentive (PLI) Scheme
- Pro-business state policies (esp. Karnataka & Tamil Nadu)
These benefits have not only attracted Apple but also Wistron and Pegatron, two other major suppliers now operating in India.
A Goldman Sachs report estimates that India’s electronics exports could cross $300 billion by 2027, with Apple as a key driver.
A New Era of Tech Manufacturing
As Apple continues to expand, India is no longer just the back office of the world — it’s becoming the hardware powerhouse too.
Young entrepreneurs in India are already feeling the ripple effects, with Apple’s supply chain opening up new job opportunities, training programs, and startup ecosystems across tech hubs.
Final Word
The numbers don’t lie — with $22 billion in iPhone exports, Foxconn’s billion-dollar expansion, and Apple’s long-term roadmap, India has truly become the “New China for Apple.”
Whether it’s Bengaluru, Chennai, or Noida — the Apple revolution is taking root in Indian soil, reshaping not just global supply chains, but also the aspirations of a new generation of tech-savvy workers.
Also Read: Former Microsoft India Executive Files ₹35 Crore Lawsuit Alleging Hostile Exit
