Apple manufacturing in India benefits from new tariff exemptions

Apple stands to gain from India’s decision to eliminate import duties on a series of components used in smartphone manufacturing, which could further reduce costs in the India-based company’s fast-growing supply chain.

According to a report from Reutersthe Indian government removed customs duties of 7.5% and 5% that applied to inputs for wireless charging hardware, automotive and medical device displays, and lithium-ion battery cells. The exemptions are expected to remain in effect until March 31, 2029.

The exemption of wireless charging components, in particular, fits directly into the MagSafe ecosystem used across the iPhone lineup. With the costs of importing this hardware now waived, Apple’s India-based assembly partners have a clearer path to source and manufacture charging components domestically rather than importing them at a markup.

Apple has leaned heavily on India to shift iPhone production away from China, with assembly partners now building about a quarter of all iPhones in the country and producing the entire iPhone 17 lineup there for the first time, including the high-end Pro and Pro Max models. Foxconn, one of Apple’s main assemblers, invested $1.5 billion in expanding its India operations earlier this year, and Tata Electronics has become an equally central manufacturing partner alongside it.

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