Exports of iPhones from India jump in shift away from China

Apple's iPhone exports from India jumped by a third in the six months to September, underscoring its push to expand manufacturing in the country and reduce dependence on China.

The US company exported nearly US$6 billion (S$7.9 billion) of India-made iPhones, an increase of a third in value terms from a year earlier, people familiar with the matter said. That puts annual exports on track to surpass the US$10 billion in fiscal 2024.

Apple is expanding its manufacturing network in India at a rapid clip, taking advantage of local subsidies, a skilled workforce and advances in the country's technological capabilities. India is a crucial part of the tech giant's effort to lessen its reliance on China, where risks have grown along with Beijing's tensions with the US.

Apple's rising star in India contrasts with its flagging fortunes in China, whose economy has stuttered following harsh Covid-19 lockdowns and a property crisis. To be sure, Apple relies on China for the bulk of its manufacturing and sales, and India is unlikely to become its top market anytime soon.