Apple hits record $10 billion in iPhone exports from India in H1 FY25 as production surges: Report

In September alone — typically a slow month alongside August as buyers await new models — Apple exported iPhones worth $1.25 billion.

This represents a 155% increase from $490 million in September 2024, according to data accessed by ET.

The surge came despite robust domestic demand for the new iPhone 17 series, which is also supplied from Indian factories.

Apple launches its new iPhone lineup every September, with exports usually picking up pace after Diwali due to increased global demand driven by the Thanksgiving, Black Friday, Christmas, and New Year shopping season in Western markets.

This year’s export momentum is further boosted by the fact that, for the first time, all iPhone models — including the Pro, Pro Max, and Air — are being rolled out from Indian plants for global markets immediately from launch.

Earlier, India-made Pro models reached overseas markets only after a lag of several months.

A query sent to Apple regarding its export data went unanswered.

Companies are required to submit production and export details regularly to the government under the smartphone production-linked incentive (PLI) scheme.

Officials attributed the jump in Apple’s production and exports largely to the commissioning of two new factories in April — Tata Electronics’ Hosur plant and Foxconn’s Bengaluru facility — bringing the total number of iPhone plants in India to five. With higher output, the share of exports in Apple’s total production has risen steadily.

“In FY25, Apple through its vendors produced $22 billion worth of iPhones, of which 80% or $17.5 billion worth of made-in-India iPhones were exported,” an official said, citing data.

The production and export figures are based on freight-on-board (FOB) value, the rate at which devices leave factories.

Retail prices are typically 50–60% higher. Incentives under the PLI scheme are calculated on FOB value.

iPhone production in India has grown from $2 billion in FY22 to $22 billion in FY25, with the number expected to climb further this fiscal through March 2026.

However, potential US tariffs and trade restrictions could affect future exports.

“At the current run rate, Apple is expected to cross the production and export figures of last year. However, it will also depend upon the international trade negotiations and the much-anticipated semiconductor tariffs under the 232 investigations by the US Department of Commerce,” an industry expert said.

Currently, the US imposes a 50% tariff on imports from India, excluding smartphones, computers, and electronics.

The US remains the largest market for smartphone exports, including Apple devices.

According to the India Cellular and Electronics Association (ICEA), smartphone exports to the US rose to $8.43 billion during April–August this year, compared with $2.88 billion in the same period last year.

Apple is the leading contributor, followed by Samsung and Motorola.

Amid growing geopolitical uncertainty, India has emerged as a crucial link in Apple’s global supply chain, with all iPhone models now being made domestically from the outset and exported worldwide.

Apple’s rapid expansion in India has been supported by a broader supply chain network of about 45 companies, including local component makers and sub-assembly manufacturers.

These suppliers have generated roughly 350,000 jobs so far, including 120,000 direct positions, in addition to the large workforce employed at the five iPhone plants.