India overtakes China as top supplier of smartphones to US amid Apple’s production shift

India has surpassed China to become the largest source of smartphones shipped to the United States, marking a major shift in global electronics manufacturing. This development follows Apple’s continued push to diversify its supply chain and scale up iPhone assembly in India.

According to data from Canalys, India accounted for 44 percent of all smartphone shipments to the US during the April to June 2025 quarter, outpacing Vietnam at 30 percent and China at 25 percent. Just a year ago, China held over 60 percent of this market. The data, cited in a Bloomberg report, reflects an estimated total of 27.1 million smartphone shipments during the quarter.

The shift is driven by Apple’s decision to ramp up production in India, combined with efforts by other smartphone brands to stockpile inventory due to ongoing concerns about tariffs. The number of smartphones manufactured in India for the US market more than tripled compared to the same quarter last year.

Despite the increase in production from India, Apple’s iPhone shipments to the US declined by 11 percent during the quarter. Analysts attribute this to changes in Apple’s shipping strategy, including a large volume of units sent earlier in the year to build up inventory.

The shift from China to alternative manufacturing hubs such as India and Vietnam has been underway for several years, largely as a response to geopolitical tensions, rising labour costs, and trade restrictions. While Apple still produces the majority of its iPhones in China, India’s role is expanding quickly. Apple reportedly produced $22 billion worth of iPhones in India in the last fiscal year.

The company has no smartphone production within the US, though it has pledged to invest $500 billion in the country over four years and increase domestic hiring.