Majority Of iPhones Sold In The US To Be ‘Made In India’: Apple CEO Tim Cook

Majority Of iPhones Sold In The US To Be ‘Made In India’: Tim Cook

SUMMARY

Apple will source most of the iPhones sold in the North American nation in the June quarter from India, CEO Tim Cook announced during the company’s post-earnings call

While Apple didn’t explicitly disclose its sales in India, Cook said that the company set a number of quarterly records in the country

Cook said that the current tariff of 145% on imports from China will hit Apple’s bottom line by $900 Mn in the June quarter

In the wake of the US-China trade conflict, tech major Apple will source most of the iPhones sold in the North American nation in the June quarter from India.

Apple CEO Tim Cook made the announcement in a post-earnings call. The CEO’s confirmation came a week after reports said that Apple plans to shift its entire assembly of iPhones sold in the US to India by as early as next year.

Further, the company will manufacture a majority of its other products – iPad, Mac, Apple Watch and AirPods – sold in the US in Vietnam. However, China would continue to be the country of origin for Apple’s sales outside the US.

It is important to highlight that the company’s manufacturing push away from China to India has been in the making for some time now. The ongoing tariff tensions between the US and China has further hastened up this shift.

In 2024, Apple surpassed INR 1 lakh Cr mark in iPhone exports from India in 2024, with total shipments reaching a record $12.8 Bn (around INR 1.08 Lakh Cr).

While trade talks between the US and China are still on the table, Cook said that the current tariff of 145% on imports from China will hit Apple’s bottom line by $900 Mn in the June quarter.

In the March quarter (Q2), Apple’s revenue zoomed 5% year-on-year (YoY) to $95.4 Bn. iPhone sales contributed $46.8 Bn to its top line, while iPad and MacBook sales stood at $6.4 Bn and $7.9 Bn, respectively.

While Apple didn’t explicitly disclose its sales in India, Cook said that the company set a number of quarterly records in the country.

It is important to note that Apple also reported a “record quarterly sales in India” in the preceding December quarter, with iPhone becoming the top selling smartphone model in the country during the quarter.

Meanwhile, Apple also announced that it will set up new retail stores in India starting later this year. Earlier last year, the CEO unveiled Apple’s plans to open four more retail stores in the country in Bengaluru, Pune, Delhi NCR and Mumbai.