Full Breakdown
Apple’s iPhone Exports from India Surpass $10 Billion in H1 FY26
10/9/2025, 12:34:28 PM
Record Export Milestone
Apple has achieved a significant milestone in its manufacturing operations in India, with iPhone exports reaching $10 billion (approximately INR88,700 crore) in the first half of the financial year 2026 (FY26). This figure represents a 75% increase from $5.71 billion during the same period in the previous fiscal year. The surge in exports is attributed to the implementation of the Production-Linked Incentive (PLI) scheme and the broader 'Make in India' initiative, which have attracted global tech firms to diversify their supply chains.
Key Manufacturing Developments
The increase in exports is closely linked to the expansion of Apple’s manufacturing network in India, which now includes five factories following the launch of Tata Electronics' Hosur plant and Foxconn's Bengaluru unit in April 2025. In FY25, Apple produced $22 billion worth of iPhones in India, with nearly 80% of that output exported. Notably, September 2025 saw outbound shipments reach $1.25 billion, marking a 155% year-on-year increase, despite strong domestic demand for the newly launched iPhone 17 series.
Strategic Shift in Production
Apple's strategic decision to produce its latest iPhone 17 series in India from the outset signifies a shift in its global rollout strategy. For the first time, all iPhone models, including the Pro and Pro Max variants, are being manufactured in India and shipped globally at launch, eliminating previous delays in availability. This approach not only enhances Apple's operational efficiency but also strengthens India's position in the global tech supply chain.
Government Support and Economic Impact
The Indian government’s PLI scheme has played a crucial role in incentivizing Apple’s investments in local manufacturing. IT Minister Ashwini Vaishnaw highlighted the achievement, stating, “Made in Bharat. Trusted globally.” The overall smartphone exports from India have also seen a record increase, surpassing INR1 lakh crore in the first five months of FY26, driven largely by Apple's expansion.
Criticism and Challenges Ahead
Despite the positive growth, potential challenges loom on the horizon. Industry experts caution that upcoming U.S. tariff regulations and international trade negotiations could impact future export figures. The U.S. currently maintains a 50% tariff on imports from India, excluding smartphones, which remains a critical market for Apple.
Employment and Supply Chain Growth
Apple's rapid scaling of production in India has resulted in the creation of approximately 350,000 jobs, including 120,000 direct positions, through a network of nearly 45 local component suppliers. This growth not only supports Apple's manufacturing capabilities but also contributes to the broader economic landscape in India.
Conclusion
As Apple continues to expand its manufacturing footprint in India, the country is poised to become a key player in the global smartphone manufacturing sector. The combination of government support, strategic production shifts, and robust export growth underscores the significance of Apple's operations in India, setting the stage for future developments in the tech industry.
