Indian suppliers Foxconn and Tata, key partners of Apple, shipped approximately $2 billion worth of iPhones to the US in March. Apple took this step to avoid impending tariffs imposed by former US president Donald Trump.
To counter the potential increase in costs due to tariffs, Apple ramped up production in India and chartered a 600-tonne freight to airlift iPhones to the US. This operation involved using at least six cargo jets, described by a source as a strategy to “beat the tariffs.”
In April, the US administration enforced a 26% duty on imports from India, but later suspended most obligations for three months, except for those concerning China.
According to commercial customs data, Foxconn, Apple’s leading Indian supplier, exported $13.1 billion worth of smartphones in March, including various iPhone models. Their total cargo shipped from India to the US amounted to $5.3 billion this year.
Tata Electronics, another Apple supplier, exported $612 million worth of smartphones in March, a significant increase compared to the previous month. This included iPhone 15 and 16 models. Apple, Foxconn, and Tata have not responded to requests for comment.
Customs data revealed that all Foxconn shipments in March were air freighted from Chennai, India, and landed in various US locations, with Chicago being the primary destination.
Following the Chennai flight, Trump exempted smartphones and other electronic devices, mainly from China, from tariffs. However, these exemptions were expected to be temporary.
To streamline shipments, Apple reduced the customs clearance time at Chennai airport from 30 to 6 hours, benefiting Indian airport authorities.
Source: www.theguardian.com
