Apple's Manufacturing in India Gets Boost From New Tariff Exemptions

Apple stands to gain from India's decision to eliminate import duties on a range of components used in smartphone manufacturing, in a move that could further lower costs for the company's rapidly growing India-based supply chain.

According to a report from Reuters, the Indian government has done away with tariffs of 7.5% and 5% that had applied to inputs for wireless charging hardware, automotive and medical device screens, and lithium-ion battery cells. The exemptions are set to remain in effect through to March 31, 2029.

The wireless charging component exemption, in particular, feeds directly into the MagSafe ecosystem used across the iPhone lineup. With import costs on that hardware now removed, Apple's India-based assembly partners have a clearer path to sourcing and building charging components domestically rather than importing them at a markup.

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

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