• By Isaac Krampah
  • 13th March, 2025
  • Apple

Apple airlifted iPhones worth a record $2 billion from India in March as Trump tariffs loomed

Apple airlifted iPhones worth a record $2 billion from India in March as Trump tariffs loomed, according to a report by The Information. The move was part of Apple's strategy to mitigate the impact of potential tariffs on its products as the US-China trade war escalated. The report states that Apple used chartered flights to transport the iPhones from India to the US, where they were sold at a premium. The company has been ramping up its production in India as part of its efforts to diversify its supply chain and reduce its reliance on China.

In April, the U.S. administration imposed 26% duties on imports from India, much lower than the more than 100% China was facing at the time. Trump has since paused most duties, except for China for three months. Foxconn, Apple's main India supplier, exported smartphones worth $1.31 billion in March, its highest ever for a single month and equal to shipments for January and February combined, according to commercially available customs data reviewed by Reuters. This included Apple iPhone 13, 14, 16 and 16e models, and took Foxconn's total shipments from India to the United States this year to $5.3 billion.

Exports from Tata Electronics, another Apple supplier, stood at $612 million in March, around 63% higher than the previous month, and included iPhone 15 and 16 models. Apple (AAPL.O), opens new tab, Foxconn (2317.TW), opens new tab and Tata did not immediately respond to requests for comment. Reuters is the first to report the shipment details. Customs data showed all Foxconn shipments to the United States in March were by air from the Chennai Air Cargo terminal, and landed at various locations, including Los Angeles and New York, with Chicago receiving the majority. Trump later granted exclusions from steep tariffs on smartphones and some other electronics imported largely from China, but later indicated that those exemptions will likely be short-lived. To expedite shipments, Apple lobbied Indian airport authorities to cut the time needed to clear customs at Chennai airport in the southern state of Tamil Nadu, to six hours down from 30 hours. At least six cargo jets were used in the operation which one source described was a way to "beat the tariffs".

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Apple has been ramping up its production in India as part of its efforts to diversify its supply chain and reduce its reliance on China. The company has been investing heavily in India, with plans to increase its manufacturing capacity in the country.

Apple's decision to diversify its supply chain by increasing production in India is a strategic move to mitigate risks associated with geopolitical tensions and trade wars. This approach not only helps the company reduce its dependency on China but also strengthens its presence in one of the fastest-growing smartphone markets in the world.

The airlifting of iPhones worth $2 billion from India is a significant step in Apple's efforts to adapt to changing market dynamics and regulatory challenges. By leveraging India's manufacturing capabilities, Apple aims to enhance its competitiveness and ensure a steady supply of products to meet global demand.

The airlifting of iPhones worth $2 billion highlights the urgency and scale of Apple's operations to meet market demands while navigating complex international trade policies. This move underscores the importance of agility and adaptability in the tech industry.