Apple is producing all four iPhone 17 models in India ahead of their September debut, marking the first time that all new variations, including the two Pro versions, will ship from the country from launch, according to Bloomberg sources familiar with the matter.The company has expanded iPhone production to five factories in India, including two recently opened plants, as it accelerates its shift away from China for US-bound models. This move coincides with Apple’s broader strategy to fulfill the majority of US iPhone demand from India rather than China, a pivot driven by tariff concerns and geopolitical tensions that has seen the company expect a $1.1 billion headwind from trade duties in the current period.

Tata Group emerges as major Apple manufacturing partner

Plants controlled by Indian conglomerate Tata Group will account for as much as half of India’s iPhone output over the next two years, Bloomberg reported. The expansion includes Tata’s facility in Tamil Nadu state’s Hosur and Foxconn Technology Group‘s production hub near Bangalore airport, both recently brought online.The production shift has delivered substantial results. iPhone exports from India reached $7.5 billion in just the four months beginning April, nearly half the $17 billion exported during the entire previous fiscal year. These figures represent factory gate prices, demonstrating the accelerating pace of Apple’s manufacturing relocation.

Strategic pivot intensifies amid ongoing trade tensions

Apple’s geographical pivot comes as the company seeks to fulfill the majority of US iPhone demand from India rather than China. The tech giant expects a $1.1 billion headwind from tariffs in the current period, according to Bloomberg.While the Trump administration has exempted electronics like iPhones from sectoral tariffs, devices may still face individual country levies. Apple assembled $22 billion worth of iPhones in India in the 12 months through March 2025, with the country now producing 20% of all iPhones globally.The strategic shift, initially triggered by harsh Covid lockdowns in China, has been amplified by ongoing US-China trade tensions and tariff policies under President Trump’s administration.