Until the society was yield anexemptiona fortnight ago , President Trump ’s ‘ reciprocal ’ tariff threatened to be a major headache for Apple . A large proportion of its products are manufactured in China , and the severe tariffs on that state ’s export could have forced it to put up prices .
While Tim Cook may be feeling relieved for now , the helter-skelter way in which the duty have been applied , and Trump ’s insistence that the exemptionisn’t really an exemptionand that the levy will just be apply in a different manner , suggest that the answer is flimsy and that relief may be short - experience . Which is why Apple is doing its best to pivot its provision chain in the longer term and reduce dependence on Chinese factories .
According to a newfangled report by theFinancial Times , Apple plans to ramp up manufacture in India to such a major extent that by the end of 2026 , it supply all iPhones ship to U.S. memory and client . India already draw some iPhones , but far fewer than China : belike between 30 and 40 million units per twelvemonth , out of a sum of more than 230 million . The U.S. account for around 65 million of those , by IDC ’s estimates , so India will need to repeat its mental ability – a difficult task “ after almost two decades in which Apple spent heavily in China to create a world - beating production line , ” as the FT notes .
The task is being made more difficult , according to sources in the supply chain , by China ’s predictable hesitancy to see such a major informant of receipts shifting out of the commonwealth . An article by Wayne Ma ofThe Informationreports that Formosan authorities are delay and blocking loading of iPhoneequipmentto India without account , and that Foxconn “ has seen approval times from Chinese sanction for exporting iPhone - making equipment from its China factories to those in India arise from two week to as long as four calendar month . ”
Ironically , these logistical concern may ultimately prove helpful to Apple . The company ’s strategy since Trump was re - elected has been one of conciliation – acontroversialpolicy , but one which appeared to behave rich yield when the exemption was yield . And this story can only improve the human relationship between Apple and the White House .
More than anything else , the president want to see headline credit him for bringing jobs back to U.S. grime . ( Apple hastried to play ballin that respect . ) But I suspect he ’d also delight a few news program stories about Taiwanese officials desperately prove to forestall a U.S. company from take its business elsewhere . This floor makes it look like the U.S. is bring home the bacon its trade war with China in the short full term , whether or not Apple reach the express end . In political full term , the ending of 2026 is a recollective time from now .
It ’s also worth remark that , like the Mac Pro being built in Texas ( which was happening as early as 2013 ) , Apple ’s pivot man to India is not really Trump - related . It ’s been trying to broaden manufacture for years , with human rights consider to be one factor in the fellowship ’s wish to reduce its dependence on China . Apple has quicken the plan in response to recent tariff chaos , but it ’s been in the pipeline for a while . Whether Trump acknowledges this persist to be seen .
