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Apple Plans to Source More iPhones From India as Tariff Fix

Mint Kolkata

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April 09, 2025

Apple plans to send more iPhones to the U.S. from India to offset the high cost of China tariffs, people familiar with the matter said.

- Yang Jie & Rolfe Winkler

Apple Plans to Source More iPhones From India as Tariff Fix

The adjustments are a short-term stopgap while Apple attempts to win an exemption from President Trump's tariffs which Chief Executive Tim Cook obtained during the first Trump administration.

The company sees the current situation as too uncertain to upend long-term investments in its supply chain, which is centered around China, the people said.

Trump's new tariff package raises levies on Chinese goods to at least 54% while imposing a 26% rate on Indian goods. On Monday, Trump threatened to add to China tariffs if the country doesn't remove the retaliatory duties they announced after U.S. tariff plans were revealed on April 2.

iPhone is Apple's signature product and makes up about 50% of its revenue. The company's heavy reliance on China for manufacturing has spooked investors concerned about its exposure to tariffs, leading to a 19% decline in its shares, their worst three-day performance in nearly 25 years.

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