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In a surprising statement made during his recent visit to Qatar, US President Donald Trump said he had told Apple CEO Tim Cook that he did not want the tech giant to “build in India.” Trump expressed concerns over India’s high tariffs and indicated a preference for Apple to manufacture iPhones in the United States. However, government sources and Apple insiders have downplayed these comments, saying they will not impact the company’s investment plans in India.
Speaking to news agency PTI, Indian government sources highlighted the strategic importance of India’s manufacturing ecosystem for global smartphone companies. “India has become a significant player in smartphone production,” the sources noted, emphasizing that Apple stands to gain from the competitiveness and advantages of domestic manufacturing in India.
Apple has committed to expanding its iPhone production in India, with expectations that a majority of iPhones sold in the US from the June quarter onwards will be “made in India.” This move aligns with India’s flagship ‘Make in India’ initiative aimed at boosting local manufacturing and reducing dependence on imports. Apple is already manufacturing popular accessories like AirPods in Telangana.
Officials pointed out that companies like Apple will continue to base their investment decisions on competitiveness and market dynamics, rather than political rhetoric. “Their investment decisions will be based on their own competitiveness,” government sources added.
Apple insiders confirmed that the company has no intention of altering its plans in India despite Trump’s remarks. The tech giant plans to proceed with setting up a major manufacturing facility in the country as scheduled.
Trump’s comments came at a business forum where he also mentioned Apple’s pledge to invest $500 billion in US manufacturing, a promise that experts say will be difficult to fulfill immediately due to the complexities and costs of building a supply chain capable of producing millions of iPhones domestically.
Currently, about 15% of global iPhone production comes from India, with existing factories in China manufacturing devices for the rest of the world. This dual sourcing strategy helps Apple avoid the steep tariffs imposed during the ongoing US-China trade tensions. Recent negotiations between the US and China have eased tariffs temporarily, but uncertainty remains.
India’s Electronics and IT Minister Ashwini Vaishnaw recently reported that iPhone exports from India reached Rs 1.5 lakh crore in the fiscal year 2024-25, signaling strong growth for the country’s manufacturing sector.
As Apple moves forward with its India production plans, the company is likely to play a key role in reshaping global supply chains and bolstering India’s position as a manufacturing hub in the tech world.
Sources By Agencies
