Foxconn Ships 97% of India-Made iPhones to U.S.

Apple's AAPL efforts to sidestep steep U.S. tariffs on China-made handsets are crystalizing in India, where Foxconn shipped roughly 97% of its $3.2 billion in iPhone exports to the U.S. between March and Mayup from a 50.3% U.S. share in 2024.

May alone saw about $1 billion of India-made iPhones land stateside, the second-largest monthly tally after March's $1.3 billion, according to customs data. In the first five months of 2025, Foxconn has sent $4.4 billion worth of devices from India to Americaalready surpassing the full-year 2024 total of $3.7 billion.

Apple CEO Tim Cook told investors that most iPhones sold in the June quarter in the U.S. would be built in India, part of a broader push to diversify manufacturing beyond China. Foxconn's plants and Tata Electronics' three South India facilitieswhere 86% of their March-April output also went to the U.S.are central to that strategy. Apple has even lobbied Chennai airport officials to cut customs clearance times from 30 hours to six, smoothing the export pipeline.

While India faces its own tariff negotiationsa baseline 10% import duty and a paused 26% surcharge proposed by the Trump administrationApple's shift underscores how global supply chains are realigning around tariff arbitrage. In parallel, former President Trump has threatened 25% levies on iPhones not made in the U.S. and floated 55% duties on Chinese goods, highlighting the political stakes.

Why It Matters: With India becoming a primary export hub for U.S. iPhone sales, Apple could trim tariff drag and fortify its supply resiliencebut must navigate evolving duties and geopolitical headwinds.