Apple Moves iPhone Production to India, iPads and Macs to Vietnam

Apple’s CEO Tim Cook confirmed that over half of the iPhones sold in the U.S. during the March 2025 quarter were already made in India. This shift is driven by rising tariffs on Chinese imports 145% compared to 26% for India and 10% for Vietnam which Cook said will increase Apple’s costs by about $900 million in the June quarter.

Apple CEO Tim Cook has announced a major overhaul of the company’s supply chain, revealing that most iPhones sold in the U.S. will be sourced from India starting in the June 2025 quarter.

In parallel, Vietnam will become the main production hub for iPads, MacBooks, Apple Watches, and AirPods sold in the U.S., signaling a strategic move away from China.

Apple’s Indian manufacturing partners, Foxconn and Tata, exported $2 billion worth of iPhones to the U.S. in March alone. The company now operates three factories in India, with two more on the way, aiming to produce over 60 million iPhones per year by 2026. Meanwhile, Vietnam has expanded its role as a key assembler of Apple’s non iPhone products.

Analysts have welcomed the move as a smart response to escalating U.S.–China trade tensions, noting the company’s effort to reduce its dependency on China. However, Apple still relies heavily on Chinese suppliers for components, and experts estimate it could take years to fully restructure the supply chain.