As the US-China trade war talks continue, companies have started shifting their production bases from china and vietnam to India. This raises the question of whether the talks between trump and Xi jinping will fail. The first and most important company in this is Apple. apple has decided to manufacture iPhones sold to its US customers in india, a new announcement has come. According to a report published by the Financial Times on Friday, apple plans to shift the production of all iPhones sold in the US to india by next year. This major change seems to have been taken due to the reciprocal tariffs imposed by US President donald trump on Chinese goods.

Apple has decided that it should no longer rely on china for its supply chain for any reason and has decided to shift its manufacturing base to india and other countries, no matter how much trouble and delay it causes. Currently, most of Apple's manufacturing bases are in China. Products made in china are sold in the Chinese and American markets. Apple's current plan is that all apple products sold in the united states should be made in India. If this plan is successful, more than 60 million iPhones can be manufactured in india annually by 2026. This is twice the current production volume. Most of Apple's products are manufactured at Foxconn, Peghatkhan, and Tata Electronics factories in Hosur in Chennai.
The US is a very important market for apple, so it is determined not to lose this market due to Trump's tax. Meanwhile, since the friendly relations between india and the US are very good, there is no doubt that india will get a big concession from Trump's reciprocal tax. According to the statistics released by IDC in 2024, about 28% of Apple's global iphone shipments are from the US. Shifting iphone production from china to the US to india will help apple avoid large taxes. It will also reduce the long-term risk of political problems between the US and China. Although the US is today providing tax relief to try to resolve the current problem with china, this is once again a major issue that is erupting between the two countries.
The trump administration has imposed a basic tariff of up to 145% on goods coming from China. This tax is levied up to 245% on some goods. Currently, there is a 20% tax on smartphones, although the trump administration recently removed this tax on many electronic goods, it seems that it will be temporary. Through this, apple and samsung are currently shifting their manufacturing base from china and vietnam to India. Apple's decision will provide huge opportunities for India. Many new suppliers for the production of apple products will invest in india, and similarly, all the existing factory infrastructure can be expanded on a large scale. If we look at it that way, this is a huge jackpot for tamil Nadu.
New investments and new suppliers from china and vietnam can create a lot of new jobs in tamil Nadu, especially in the tamil Nadu technology sector.
For more interesting updates wa click and follow Indiaherald WhatsApp channel

Find out more:

Sowmiya Sriram

25/04/2025 02:29 PM