Synopsis: India remains optimistic that Apple will prioritize profitability and business logic over political pressure from Donald Trump, who warned against iPhone manufacturing in India. New Delhi highlights its world-class infrastructure, talent, and growing role in Apple’s global supply chain.
As former U.S. President Donald Trump threatens to impose 25% tariffs on iPhones made outside the U.S., India is betting that Apple will continue investing in Indian manufacturing, choosing economic logic over geopolitical pressure.
According to top Indian government sources, Apple’s India operations are seen as critical to its global strategy, especially as it seeks to reduce reliance on China. “India is confident that Apple will weigh profits over any pressure from the Trump government,” a senior official said in response to Trump’s comments posted on Truth Social, where he warned Apple CEO Tim Cook against building iPhones in India for the U.S. market.
“India offers the best facility and talent for global companies to set up plants,” the official added, underlining the country’s appeal as a tech manufacturing hub.
Trump’s remarks came just days after he said at a business event in Qatar that Apple must build its products in the U.S. or face steep tariffs. He claimed to have told Cook:
“We’re not interested in you building in India… If iPhones are built outside the U.S., there will be a 25% tariff.”
India Sees No Immediate Threat to Apple’s Plans
Despite Trump’s aggressive tone, Indian officials say they see no immediate threat to Apple’s current or future plans in India. “We are hopeful of this being sorted out,” a source said.
India has become a vital hub for Apple, with key suppliers like Foxconn, Pegatron, and Wistron handling production. Apple has also been actively expanding its Indian operations, aiming to produce the majority of iPhones sold in the U.S. from Indian plants by the end of 2026.
Tariffs Could Spark Domestic Tech Growth
Officials also suggested that even if Trump’s tariffs materialize, they might incentivize the indigenous tech and manufacturing sector in India to compete and innovate. “Tariffs also provide a platform for competition,” a government source noted.
India Eyes Broader Industrial Partnerships
Regardless of Apple’s choices, India remains committed to diversifying its industrial alliances. “We’ve been and will continue to explore partnerships across countries and sectors,” the official stated.
Meanwhile, reports indicate that India and the U.S. are on track to sign the first phase of a Bilateral Trade Agreement (BTA) before July, reflecting continued economic engagement between the two nations despite trade tensions.
Disclaimer: This article is based on government sources and public statements. Developments around trade policy, tariffs, and corporate decisions may evolve rapidly. Readers are encouraged to refer to official announcements for confirmation.
