Apple Reaffirms its India manufacturing strategy remains unaffected despite Trump’s remarks, signaling strong growth commitment in the region.
Apple Reaffirms India Commitment Despite Trump’s Comments: Full Update
Apple Inc. has clarified that its India manufacturing expansion remains firmly on track, dismissing concerns arising from Donald Trump’s recent comments about U.S. companies moving operations abroad. The update comes amid rising geopolitical tensions and shifting global supply chains in 2025.
The statement, shared with leading media outlets on May 16, 2025, reiterates Apple’s long-term strategy to make India a crucial manufacturing hub outside China, amid both business continuity and strategic de-risking goals.
📍 Trump’s Remarks: What Was Said and Why It Matters
Former U.S. President Donald Trump, in a recent campaign speech, criticized American tech giants for “abandoning American workers” by shifting their operations to India and other countries. He hinted at possible tariff hikes on products not assembled in the U.S., sparking speculation about Apple’s next move.
However, Apple sources told Reuters that the company’s India plans are unaffected, and the focus remains on expanding its local production capabilities through Foxconn and Tata Electronics.
🇮🇳 India: The New Manufacturing Hub for Apple
Apple began assembling iPhones in India in 2017 and has steadily expanded operations. By 2025, it manufactures over 25% of its iPhones in India, up from just 5% in 2021.(Apple Reaffirms)
✅ Key Developments in India:
- 📱 iPhone 15 series now assembled in Tamil Nadu and Karnataka.
- 🏗️ Foxconn’s ₹8,000 crore investment to set up new plants in Telangana.
- 💼 Over 1 lakh jobs created through Apple’s ecosystem in India.
- 🇮🇳 Tata Electronics expected to produce iPhone casings and components locally.
“India is not just a backup for Apple, it is now a core part of the supply chain,” says Neil Shah, VP at Counterpoint Research.
🌍 Geopolitical Context: Diversifying Beyond China
Apple’s India strategy is part of its China+1 policy—a move accelerated by:
- 🦠 COVID-19 disruptions
- 📈 Rising labor costs in China
- 🛡️ U.S.-China trade tensions
- 💼 India’s PLI (Production Linked Incentive) scheme
Applee is not alone—Samsung, Google, and Microsoft are also increasing their India production. India’s tech-friendly policies and large workforce make it ideal for scale.
📊 Expert Insights and Data Highlights
| Factor | China | India |
|---|---|---|
| Labor Costs (avg.) | $6.50/hr | $1.50/hr |
| iPhone Production Share | 70% | 25% and rising |
| Apple Supplier Ecosystem | 180+ units | 50+ and growing rapidly |
| PLI Incentives (2023-2026) | N/A | ₹40,000 crore allocated |
📉 Impact of Trump’s Remarks on the Stock Market?
While Trump’s remarks created a momentary stir, Apple shares (AAPL) remained largely stable. Analysts note that investors trust Apple’s long-term strategy and diversified risk model.(Apple Reaffirms)
“Apple’s India move is about resilience, not just cost,” says Gene Munster, Tech Analyst at Deepwater Asset Management.
❓ FAQs About Apple’s India Plans
1. Is Apple stopping iPhone manufacturing in India after Trump’s comments?
No. Apple Reaffirms that its India expansion is unaffected and continues as per its long-term strategy.
2. Why is Applee shifting production to India?
Apple aims to diversify supply chains, reduce dependency on China, and leverage India’s PLI scheme.
3. Will Trump’s return impact Apple’s global supply chain?
If Trump returns, policy changes are likely, but Apple’s international supply chain is built to absorb geopolitical risks.
4. Which iPhones are made in India now?
As of 2025, the iPhone 13 to iPhone 15 series are being assembled in India.
5. How much does India contribute to Apple’s global output?
India currently contributes to 25% of iPhone production, with forecasts pointing to 35% by 2026.(Apple Reaffirms)
Apple’s India Manufacturing Progress – Reuters
🔗 https://www.reuters.com/technology/apple-expands-india-manufacturing-plans-2025-05-14
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