Trump Opposes Apple’s Expansion in India, Urges Boost in U.S. Manufacturing
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U.S. President Donald Trump has taken a firm stance against Apple’s increasing manufacturing operations in India. During a business event in Doha, Qatar, Trump revealed a recent conversation with Apple CEO Tim Cook, where he urged the company to ramp up production in the United States instead of India.
India can take care of itself,” Trump stated, emphasizing the need for Apple to bring its operations back to American soil. His remarks come at a time when Apple is already producing nearly 50% of the iPhones sold in the U.S. market in India.
Trump Highlights Trade Deal Offer from India
“India has one of the highest tariff rates in the world, making it difficult to sell products there,” he said. “But now they are ready to do a deal with no tariffs. Still, I told Tim that we’ve treated Apple well for years, and it’s time they prioritize American manufacturing.”
Apple’s Growing Manufacturing Footprint in India
According to recent reports, Apple is shifting a significant portion of its supply chain out of China and into India.
company has also ramped up production of other products like AirPods and Apple Watches in Vietnam as part of its supply chain diversification strategy.
iPhone Production in India Sees Massive Growth
From March 2024 to March 2025, it manufactured iPhones worth $22 billion (approx. ₹1.88 lakh crore) in India—a 60% increase year-over-year. Of this, $17.4 billion worth of iPhones were exported. One out of every five iPhones globally is now made in India, primarily at factories in Tamil Nadu and Karnataka.
Foxconn, Apple’s largest manufacturing partner, handles the bulk of production in India, alongside Tata Electronics and Pegatron.
Apple’s India Strategy: Cost Savings, Market Access, and Export Potential
company deepening investment in India is driven by multiple factors:
- Supply Chain Diversification: Geopolitical tensions and past lockdowns in China exposed the risks of over-reliance on one region. India offers a more stable alternative.
- Lower Manufacturing Costs: Compared to China, India provides more affordable labor and helps Apple reduce high electronics import duties through local production.
- Government Incentives: Initiatives like “Make in India” and the Production-Linked Incentive (PLI) scheme offer financial support to manufacturers, encouraging partners like Foxconn and Tata to scale operations.
- Expanding Market Opportunities: India is one of the fastest-growing smartphone markets. Local production enables Apple to meet domestic demand more efficiently and increase its modest 6-8% market share.
- Export Advantages: Apple exports about 70% of its India-made iPhones, leveraging lower tariffs and expanding its global distribution network.
- Skilled Workforce and Infrastructure Improvements: While India’s labor force is still developing in comparison to China, Apple and its partners are actively training employees and investing in advanced facilities, including a $2.7 billion plant in Karnataka.
A Clash Between Political Vision and Business Strategy
Trump’s comments reflect a growing political push for reshoring American manufacturing. As Apple balances between cost efficiency, market access, and geopolitical pressures, the tension between political and corporate priorities may continue to intensify.
