Apple is working quickly to move the production of most iPhones sold in the United States from China to India by the end of 2026.
This move comes as the company looks for ways to manage possible new tariffs on goods coming from China, which remains its main manufacturing location.
The tech giant is holding urgent meetings with its key suppliers, Foxconn and Tata, to make this plan happen.
A source familiar with the situation shared that the discussions are ongoing but private.
Currently, Apple sells over 60 million iPhones each year in the United States, with about 80 percent made in China.
Even though India has been promoted as a new place for smartphone manufacturing, companies still face higher costs there.
Import duties on mobile phone parts are steeper compared to many other countries, which has kept manufacturing prices higher.
Producing iPhones in India costs about 5 to 8 percent more than in China, and in some cases, the gap can reach 10 percent.
Despite the extra costs, Apple has already increased its output in India.
In March, the company shipped around 600 tons of iPhones, worth about $2 billion, from India to the United States.
This was a record for both Foxconn and Tata, with Foxconn alone sending smartphones valued at $1.3 billion.
Last month, the United States government imposed a 26 percent duty on goods imported from India, which was still much lower than the over 100 percent duties China faced at that time.
However, most duties were paused for three months, except those affecting China.
Talks between the United States and China have opened the door for a possible easing of trade tensions, which had earlier caused fears of a global economic slowdown.
