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Apple has taken drastic measures to avoid paying President Trump’s steep tariffs on China by airlifting more than 1 million iPhones from India to the United States.
According to a report by Reuters, Apple shipped approximately 1.5 million iPhones weighing around 600 tons by air from India to the US, in an effort to beat the tariff deadline. The tech giant has been working to increase iPhone production in India, which is subject to significantly lower levies than China, where most iPhones sold in the US are manufactured.
In a move to mitigate the impact of Trump’s tariffs, Apple has reportedly added workers at its main India factory and extended shifts through Sunday to meet its goal of increasing production by 20%. The company had also spent eight months lobbying Indian airport authorities to reduce customs clearance time from 30 hours to just six hours.
The motive behind this move is clear: to prevent prices from skyrocketing due to the tariffs. Analysts have warned that even a temporary reversal of Trump’s tariffs would not necessarily mean price reductions, as the new levies would likely be passed on to consumers.
As we’ve seen in recent data, an iPhone 16 Pro Max 256 GB assembled in China could face a staggering 67% price hike, jumping from $1,199 to $2,999. Meanwhile, a research note by Wedbush Securities tech analyst Dan Ives emphasizes the importance of global trade in ensuring affordable consumer electronics prices in the US.
The article concludes that if an iPhone were made in the US, a $1,000 model would cost a staggering $3,500.
Source: https://www.cbsnews.com/news/apple-airlifts-iphones-india-tariffs/
