Apple turned to India in March, airlifting iPhones worth $2bn to escape Trump's tariffs

Apple relied heavily on India's iPhone manufacturing capabilities in March, ahead of a looming tariff threat by US President Donald Trump. According to a Reuters report, Apple shipped nearly $2 billion worth of iPhones from India to US in March, making it an all-time high export from India. 

The report says that Apple chartered six cargo flights and shipped 600 tons of iPhones to the United States to ensure that it could maintain sufficient inventory in one of its biggest markets, and "beat the tariffs", according to a Reuters source. 

The actions were a direct result of the Trump administration levying heavy tariffs on imports from China. Notably, India was also hit by tariffs, but at 26% duties, it was considerably lower than that imposed on China. Since the announcement, Trump has also issued a temporary three-month pause on tariffs for all countries, with China being the notable exception. 

According to customs data reviewed by Reuters, Foxconn, Apple’s main India supplier, exported smartphones worth $1.31bn in March, its highest ever for a single month, equal to shipments for January and February combined. This included Apple iPhone 13, 14, 16 and 16e models, and took Foxconn’s total shipments from India to the United States this year to $5.3bn.

Exports from Tata Electronics, another Apple supplier, stood at $612m in March, about 63% higher than the previous month, and included iPhone 15 and 16 models.

But that's not all. Reuters also reported that Apple lobbied Indian airport authorities to cut the time needed to clear customs at Chennai airport to six hours, down from 30.