Apple doubles down on India manufacturing amid Trump's push for US production

India is downplaying concerns raised by US President Donald Trump regarding Apple’s expanding manufacturing operations in the country. Government sources have reportedly told CNBC-TV18 that the tech giant has “assured the Indian government” of its continued commitment to using India as a key production base.

“There is no change in Apple’s investment plans in India,” the sources said, suggesting that the company remains on track despite Trump’s criticism of its India-focused strategy.

During a stop in Doha on his Gulf tour, US President Donald Trump reportedly told Apple CEO Tim Cook that the US is "not interested" in Apple building its manufacturing base in India, asserting that "they can take care of themselves." The remarks are part of his continued effort to push US companies to prioritise domestic manufacturing over outsourcing to countries like India and China.

Apple, however, appears committed to its India expansion. The company reached $22 billion in production value in the country for FY2025 and is aiming to make India its central hub for US-bound iPhones by the end of 2026. While production costs remain higher, Apple is strategically shifting to India to reduce its dependence on China and better navigate ongoing geopolitical challenges.

Adding to the intrigue, Trump also said in Doha that “India offered the US a deal, basically zero tariffs.” The Indian government has not officially responded or clarified whether this offer applies across all categories of American exports or is limited to specific sectors.

Apple’s continued investment in India comes amid its broader effort to diversify manufacturing away from China. A recent report by The Information had also indicated that Apple was aiming to shift up to 50% of its iPhone production out of China, as the threat of Trump's tariffs loomed large.

India has emerged as a strong alternative, thanks to government support and deepening local partnerships. Apple’s growing collaboration with the Tata Group has helped streamline regulatory processes and encourage further investment.

In March, Apple leaned heavily on its Indian production facilities, reportedly shipping nearly $2 billion worth of iPhones to the US, an all-time high. The timing of the exports came just ahead of a potential tariff threat from President Trump, reinforcing India’s growing role in Apple’s global supply chain.