iPhone exports from India hit all-time high amid U.S. tariff concerns

Apple exported $6 billion worth of iPhones from India in Q1FY26—an 82% year-on-year surge—marking its best quarter yet and accounting for 78% of total smartphone exports, reinforcing India’s role as a key manufacturing hub

India’s smartphone exports soared to an all-time high of $7.72 billion in the April–June 2025 quarter (Q1FY26), representing a 58% year-on-year increase, largely powered by Apple’s record-breaking shipments. According to data shared by industry vendors with the government, Apple alone exported iPhones worth $6 billion, marking an 82% jump over the same period last year.

This surge not only marked Apple’s best export quarter from India to date but also set a national record for smartphone exports in any quarter. The company contributed nearly 78% of total smartphone exports, underscoring its growing reliance on India as a global manufacturing base.

India’s rapid rise in smartphone exports is underpinned by the government’s Production-Linked Incentive (PLI) scheme, launched in 2020 to boost domestic electronics manufacturing. In FY21, smartphone exports stood at just $3.1 billion; by FY25, they had climbed to $24.1 billion, with Apple alone contributing $17.5 billion. In Q1FY26, the strong momentum continues, positioning the country to set new annual records.

Vendors near PLI completion phase

The PLI scheme’s first phase is nearing completion for Apple’s three key vendors, while Samsung completed its term in March 2025. Samsung accounted for 12% of India’s smartphone exports in Q1FY26, while Padget Electronics, a Dixon Technologies subsidiary, contributed $175 million, part of the remaining 10% from other vendors.

India’s broader electronics exports rose 48%, reaching $12.4 billion in Q1FY26, compared to $8.4 billion a year earlier. Smartphones alone made up 62% of this figure, up from 58% last year, signalling a deeper shift from simple assembly to value-added electronics manufacturing.

From lagging to leading exports

In FY15, smartphones ranked 167th among India’s export items. Today, they lead as India’s top export category by HS code, thanks to rising foreign investment, targeted incentives, and robust global demand.

However, trade uncertainties loom. The U.S. is currently reviewing Section 232 of the Trade Expansion Act, which could impose new tariffs on imports, including electronics, on national security grounds. A decision is expected by August 14, potentially impacting future momentum.

Still, with over $24 billion in exports last year and a strong start to FY26, India’s emergence as a global smartphone manufacturing hub appears firmly underway.