Apple Sets Record with $7 Billion in iPhone Exports from India in First Seven Months of Fiscal Year 2024
Apple has set a new record in smartphone exports, with iPhone shipments from India reaching an impressive Rs 60,000 crore (around $7 billion) in the first seven months (April-October) of the current fiscal year. This achievement, averaging $1 billion in exports per month, highlights India’s growing role as a crucial hub for global smartphone production and export, according to industry sources.
The surge in exports can be largely attributed to the government’s smartphone production-linked incentive (PLI) scheme, introduced in 2020. The scheme has encouraged Apple to significantly ramp up its manufacturing operations in India. Despite an inquiry, Apple’s global spokesperson has not provided further comment at the time of publication.
In terms of production, Apple’s export portfolio now includes not only iPhone 14, 15, and 16 models but also, for the first time, the premium Pro and Pro Max versions. In October, Apple began manufacturing the iPhone 16 Pro and Pro Max locally, with these high-end models valued nearly 1.5-2 times more than their standard counterparts.
Since its first year of exporting from India in FY22, which saw exports totaling around $1.2 billion, Apple’s export numbers have grown exponentially. By FY23, exports more than quadrupled to $5 billion, and in the last fiscal year, Apple doubled its exports to $10 billion. Remarkably, the company has already reached 70% of last year’s total export figures in the first seven months of the current fiscal year.
The iPhones produced in India are exported to key global markets, including Europe, West Asia, and the United States. The US market, in particular, has seen a sharp rise in imports of iPhones, with India playing a pivotal role in this growth. Before the implementation of the PLI scheme in FY19, India’s smartphone exports to the US were valued at just $5.23 million, making smartphones the 23rd largest export item from India to the US. In FY24, however, this figure surged to $5.56 billion, positioning smartphones as the second-largest export category to the US, behind only diamonds.
For the period between April and August 2024, India’s smartphone exports totaled $2.8 billion, surpassing diamond exports, which stood at $2.1 billion. This marks a 51% year-on-year increase from the $1.9 billion in smartphone exports recorded in the same period of 2023.
Apple’s production of iPhones in India reached a record high in FY24, totaling $14 billion, which constitutes around 14% of Apple’s global iPhone production. Looking ahead, analysts project that by 2026, India could account for up to 26% of Apple’s global iPhone manufacturing capacity.
This rapid growth in both production and exports underscores India’s increasing importance in Apple’s global supply chain, which is bolstered by strong local manufacturing partnerships with companies like Foxconn, Pegatron, and Tata Electronics. With the successful implementation of the PLI scheme, Apple’s expansion in India continues to reshape the global smartphone manufacturing landscape.
