For years, China dominated the smartphone manufacturing industry in the US. But now, a new player is emerging as a major force: India. And at the heart of this transformation is one company – Apple.

The latest data shows that the number of smartphones sold in the US but made in China plummeted from 61% to just 25% in the second quarter. Meanwhile, the number of Made in India smartphones imported into the US skyrocketed by a staggering 240%, with India now accounting for 44% of all smartphones imported into the country.

According to analysts at Canalys, Apple is the driving force behind this shift. “Over 75% of iPhones sold in the US in Q2-25 were made-in-India,” said Senior Analyst Runar Bjørhovde. This represents a massive increase from just 20% in Q2-24.

But what’s behind Apple’s decision to import iPhones from India? “Many vendors have built up their capacity in India to assemble for local supply over the last decade,” explained Bjørhovde. And with the US implementing tariffs on Chinese imports, local manufacturing has become a vital necessity for companies looking to stay competitive.

Apple isn’t alone in this shift towards Indian manufacturing. Samsung and Motorola have also increased their share of US-targeted supplies from India, although at a slower pace than Apple’s.

The Impact on the Industry

As the market shifts towards Indian manufacturing, it’s having a ripple effect across the industry. Many markets, including Europe, are now receiving Indian-manufactured iPhones. And while this trend is largely driven by Apple’s decision to hedge against geopolitical risks, it’s also opening up new opportunities for other companies.

“More premium vendors started moving in post-pandemic – with Apple both wanting to invest into India (growing middle class means growing premium opportunity) and hedge for geopolitical risks,” said Bjørhovde.

So what does this mean for the future of smartphone manufacturing? One thing is clear: the industry will never be the same again. As companies continue to navigate the changing landscape, one thing is certain – India’s emergence as a major player in the global smartphone market is here to stay.

Inspired by

• https://www.computerworld.com/article/4030459/apple-in-india-transforms-the-us-smartphone-industry.html

Sources

• canalys.com
• applemust.com
• applemust.com
• vivaldi.net