In a major supply chain shift, Apple CEO Tim Cook confirmed that the majority of iPhones sold in the United States are now manufactured in India. While China focuses on non-US markets, Vietnam leads production of MacBooks and iPads. Cook also flagged a looming $1.1 billion tariff burden amid policy uncertainty.
In a milestone for India’s electronics manufacturing sector, Apple CEO Tim Cook has revealed that most iPhones sold in the United States during the past quarter were assembled in India. Speaking after Apple’s quarterly earnings call, Cook’s remarks confirmed a major realignment in the company’s global supply chain strategy, reported The Times of India.
“There hasn’t been a change to that, which is—the vast majority of the iPhones sold in the US, or the majority, I should say—have a country of origin of India,” Cook told analysts, underscoring how India is now a key hub for Apple’s domestic US supply.
While India takes the lead in iPhone production for the American market, Cook clarified that Vietnam now serves as the primary production centre for MacBooks, iPads, and Apple Watches. China, once the dominant manufacturing base for nearly all Apple products, continues to produce for non-US markets.
Trump Displeased
However, not everyone is pleased with Apple’s strategic pivot to India. Former US President Donald Trump had criticised the move during a visit to Doha earlier this year. “I had a little problem with Tim Cook… I said to him, my friend, I am treating you very good… but now I hear you are building all over India. I don’t want you building in India,” Trump said, expressing concern over domestic job losses.
$1.1 Billion Tariff Hit
Despite smartphones being exempt from the new 25 per cent US tariffs on Indian goods announced earlier this week, Apple is bracing for a sharp cost spike due to tariffs on other product categories. Cook stated, “For the June quarter, we incurred approximately $800 million of tariff-related costs. For the September quarter, we estimate the impact to add about $1.1 billion to our costs.” He added that the estimate could change depending on evolving trade policies.
