
iPhone manufacturing in India is reshaping Apple’s global supply chain.
Introduction Apple’s Success Story in India Apple India Expansion
Apple Inc. has dramatically increased its presence and influence in India. Also, in FY 2024-25, the company recorded record sales of $9 billion (approximately ₹75,000 crores) in India, which shows a growth of 13% over the previous year. But this remarkable growth is a direct result of Apple’s агрессив retail expansion strategy in India, promoting local manufacturing and changing preferences of Indian consumers. And India has now become not only an important sales market for Apple. But is also becoming a major global manufacturing hub. Where iPhones are being produced for the whole world. Also, Apple’s success story in India is based on many factors.
But reducing dependence on China Taking advantage of the ‘Make in India’ initiative of the Government of India Growing demand for premium products as well as building a strong retail network. In this article, we will analyze in detail Apple’s record sales in India, its retail expansion strategy, manufacturing operations, geopolitical challenges and future prospects.
Apple India Expansion Sales Performance Figures and Trends
Apple has recorded impressive sales performance in India for the second consecutive year. But the company’s sales were around $8 billion in FY 2023-24 and which increased to $9 billion in 2024-25. This growth has been achieved despite the slowdown in mobile device sales globally. But which highlights the resilience of India’s premium smartphone market and the effectiveness of Apple’s strategy. Also major products driving growth iPhone iPhone is the most important contributor to Apple’s sales in India. And Indian consumers consider iPhone a status symbol. And despite high taxes, its demand remains constant. Also, MacBook MacBook sales have also seen significant growth. But the trend of work-from-home and hybrid work models has increased the demand for high-performance laptops.
Market Share and Competitive Positioning Apple India Expansion
Apple’s smartphone market share in India is around 6-7%. But the company has dominance in the premium segment (above ₹ 45,000). Also, Apple is the leader in the premium segment in terms of revenue. According to Counterpoint Research, Apple’s market share increased from 6.1% to 7.8% in the second quarter of 2025. Retail expansion Getting closer to customers But Apple has rapidly expanded its physical retail presence in India.
Within just 48 hours, the company launched two new stores in Bengaluru and Pune, taking the total number of Apple retail stores in India to four: Mumbai, Delhi, Bengaluru and Pune Apple Koregaon Park As well as retail experience and localization that Apple’s retail stores have focused on providing Indian customers with a global standard shopping experience. Pune’s Apple Koregaon Park store runs on 100% renewable energy and is carbon-neutral. But customers were welcomed in the store by a 68-member team from 11 different states, which reflects local diversity.
Community Engagement and Educational Initiatives
Apple’s retail stores are not just places to sell products. But they act as community hubs. Through Today at Apple sessions, the company conducts free daily in-store sessions that promote learning and creativity. Also, we tailor these sessions according to the local context. But because Bengaluru is a tech hub, special business teams are deploying here for entrepreneurs. Also, because Pune is a cultural hub, we emphasize creative classes here. But apart from this, Apple has provided options like student discounts, trade-in offers and bank offers to improve the lives of students. Which has benefited the customers. Also, significant growth in local manufacturing and exports is a major reason for Apple’s record sales in India. But the company has rapidly expanded its manufacturing operations in India to reduce its dependence on China.
Talking about the figures of increase in production, 23.9 million (2 crore 39 lakh) iPhones were made in India in the first half of 2025, which is 52% more than last year. Also, according to Canalys, Apple now assembles about 20% of its total iPhone production (one in every five iPhones) in India. Also, in the financial year ending March 2025, Apple assembled iPhones worth about $22 billion in India, which is 60% more than last year. The company expects iPhone production in India to reach 6 crore units in 2025, up from about 3.5-4 crore units in 2024-25. Also, Apple has embraced local culture. Designers have included visual branding inspired by Indian mores in the stores of Bangalore and Pune, describing it as a “symbol of respect and care for the community inspired by the national emblem of India.”
Talking about the increase in exports
The export of iPhone from India has also increased significantly. In the first half of 2025, companies exported 22.88 million (2 crore 28 lakh) iPhones from India, and during April-July 2025, India exported iPhones worth $7.5 billion, approaching the $17 billion figure of the previous full year. Also, the US has become India’s largest market in terms of exports. And in the first half of 2025, the US received 78% of the iPhones that India exported, while this figure was 53% a year ago. But in April 2025, India exported 3.3 million iPhones to the US, while China only sent 0.9 million units. Also, the main reason for Apple’s focus on India is that there are several strategic reasons behind Apple’s significant investment and expansion in India.
Government Incentives Apple India Expansion
The Government of India’s ‘Make in India’ initiative and Production Linked Incentive (PLI) schemes provide financial assistance to companies to increase local manufacturing. Also, these policies have encouraged Apple’s manufacturing partners like Foxconn and Tata to invest more in India. Also the growing market potential that India is one of the fastest growing smartphone markets in the world. And local production helps Apple meet this demand more. Also its market share increases. In 2023, Apple declared India a separate sales region which highlights its importance. Also export opportunities that Apple exports 70% of its iPhones made in India. Which benefits from India’s lower import tariff compared to China. Increasing exports from India gives Apple a competitive advantage in the global market.
Trump’s Threats and Apple’s Response
Former US President Donald Trump had threatened Apple not to increase manufacturing in India. In May 2025, Trump wrote on the social media platform Truth, I had long ago informed Tim Cook of Apple that the iPhones that will be sold in America. And they will be manufactured in America, not India or anywhere else. If this does not happen, Apple will have to pay a tariff of at least 25% But Trump later clarified that despite the idea of imposing a 100% tariff on semiconductors, companies like Apple that assemble their products abroad will continue to benefit from tariff-free access but the statement allowed Apple to continue with its manufacturing plans in India.
Also US-India Trade Relations that is, America has imposed an additional tariff of 25% on India for buying cheaper crude oil from Russia. However in the case of mobile phones, America has extended its zero duty exemption on mobile phones imported from other countries. But this is beneficial for Apple as the company is exporting iPhones from India to America.