India has overtaken China to become the leading supplier of smartphones to the United States, marking a major milestone for the country’s manufacturing sector. This surge has been fueled by the government’s Make in India initiative, Apple’s strategic relocation of operations, and the US importers’ decision to stock up on inventory ahead of potential tariff hikes.
The shift comes as US tariffs on Indian goods prompted vendors to accelerate imports and adjust sourcing strategies. Since 2017, targeted government support through the Make in India program and integration into global value chains via the Production-Linked Incentive (PLI) scheme have significantly strengthened India’s electronics manufacturing base.
Exports of “Made in India” smartphones have risen sharply, with shipment volumes to the US growing 240 percent year-on-year. Apple, which has steadily increased its production capacity in India, now dedicates most of its export output to the US market. India’s share of US smartphone imports has surged to 44 percent from just 13 percent a year earlier, while China’s share has dropped from 61 percent to 25 percent over the same period.
In 2024, India exported mobile phones worth $20.5 billion, making it the world’s third-largest exporter after China and Vietnam. The country now operates 300 mobile manufacturing units, compared to only two in 2014. At that time, just 26 percent of phones sold domestically were locally produced; today, that figure has reached 99.2 percent.
Apple has begun assembling Pro models of the iPhone 16 series in India, though it continues to rely on Chinese facilities for larger-scale production. Other manufacturers, including Samsung and Motorola, have also expanded their US-targeted production from India, albeit at a slower pace.
India’s rapid ascent in smartphone manufacturing reflects a deliberate policy push, strong private sector investment, and a global shift toward diversified supply chains. This transformation has positioned the country as a central player in the high-value electronics export market.
