In a significant shift, Apple’s iPhone became India’s most valuable export in 2025, totaling $23 billion in shipments primarily to the US. This milestone propelled smartphones to claim the top spot in India’s export sector, surpassing traditional categories like automotive diesel fuel. The surge in smartphone exports, led by Apple, reached a remarkable $30.13 billion for the year, marking a 47% increase from the previous year.
Key factors contributing to Apple’s success in India include the implementation of the smartphone production-linked incentive (PLI) scheme, the strategic diversification of its supply chain to include Indian manufacturers like the Tata group, and the impact of US fentanyl tariffs on Chinese electronics exports, including iPhones. However, recent developments such as the removal of fentanyl tariffs on Chinese exports to the US pose a potential challenge to India’s smartphone export dominance, as it levels the playing field with zero duty for Chinese and Indian electronics.
While Apple’s expansion in India has been significant, the nation’s evolving capabilities in supply chain development and manufacturing processes may face stiff competition from China’s established industry strengths. As India continues to build its technological infrastructure, maintaining competitiveness in the global smartphone market will be crucial for sustained growth.
Source: Tech-Economic Times