Electronics and Information Technology Minister Ashwini Vaishnaw said the U.S. tech giant Apple exported more than 1.5 trillion rupees ($17.4 billion) worth of iPhones from India in the last fiscal year.
The move highlights the efforts of the U.S. tech giant to diversify its business from China.
India saw Rs 2,000 crore exports of smartphones financially, a 54% stake over the previous year, Ashwini Vaishnaw said in a briefing in New Delhi.
Apple’s footprint in India grew after a coalition shutdown that destroyed manufacturing operations in China. Apple vendors such as Foxconn and Tata Group have added local iPhone components. The electronics manufacturing division of Tata Group has acquired Wistron and Pegatron’s Indian facilities.
The Trump administration’s tariffs on China could push U.S. tech giants to shift more manufacturing to India and Southeast Asia. Donald Trump threatened to increase import tax rates on Chinese imports by 50% if China does not withdraw its recent 34% retaliatory tariff hike.
According to Bloomberg, Apple expects tariffs to grow, Apple has been in stock and will shift more devices made in India to the U.S. market. Donald Trump will also impose a 27% “reciprocal tariff” on India, which is lower than China.
In the last week of March, Apple sent five planes from India to the U.S. in three days to avoid a 10% mutual tariff imposed by the Trump administration, which went into effect on April 5, according to news reports.
(with Bloomberg input)
