US Tariffs Pose Challenges to Apple's Indian Export Hub

Apple's strategy to establish India as a key export hub for iPhones faces significant hurdles due to new US tariffs. President Donald Trump's decision to impose a 25% duty on Indian goods starting August 1, alongside an unspecified penalty, could disrupt production and export plans, particularly in the electronics sector.

Experts warn that this move, coupled with China's restrictions on electronic components, may slow down electronics manufacturing in India and hinder its ambition to become a global export center.

Impact on Apple's Production Goals

Apple had aimed to increase iPhone production in India from 35–40 million units last year to 60 million this year. However, the new tariffs could delay these plans, affecting the company's ability to meet US demand from its Indian operations.

Industry Reactions and Future Steps

Industry leaders express concerns over the potential increase in production costs and the need for India to diversify its exports and reduce dependencies on Chinese supplies. The Indian government is reviewing the implications of the US tariffs, hopeful for a balanced trade agreement.