Apple Airlifts Record iPhones from India Amid Trump Tariff Fears
In March 2023, Apple airlifted iPhones worth $2 billion from India to avert escalating tariffs imposed by the Trump administration. Suppliers Foxconn and Tata Electronics contributed to this historic shipment. Customs clearance times were reduced significantly and additional cargo planes were utilized to ensure timely delivery to the U.S. market.
In March, Apple executed a historic airlift of iPhones valued at $2 billion from India, primarily to evade impending tariffs imposed by President Trump’s administration. This surge in shipping volume was facilitated through heightened production in India and chartered flights transporting approximately 600 tons of iPhones to the U.S. amid fears that rising tariffs would inflate costs in one of Apple’s largest markets.
The tariffs imposed in April consisted of a 26% duty on imports from India, notably lower than the rates exceeding 100% for China. Trump has since suspended most tariffs, excluding those affecting China, for a three-month period.
Foxconn, Apple’s leading supplier in India, achieved a remarkable $1.31 billion in iPhone exports for March, a record for any single month that equaled the total for January and February. This shipment included models such as the iPhone 13, 14, 16, and 16e, bringing Foxconn’s total exports from India to the U.S. this year to $5.3 billion.
Tata Electronics, another supplier for Apple, exported $612 million in iPhones during the same month, showcasing a near 63% increase from the previous month, featuring models like the iPhone 15 and 16. Custom data indicates that all Foxconn shipments in March were delivered via air from Chennai Air Cargo, landing in major U.S. cities including Los Angeles, New York, and primarily Chicago.
To smooth the shipment process, Apple engaged with Indian airport authorities to reduce customs clearance times at Chennai airport from 30 hours to a mere six hours. At least six cargo jets were utilized in this operation, which one source described as a strategy to “beat the tariffs.”
In conclusion, Apple’s substantial shipment of iPhones from India in March illustrates a proactive maneuver to circumvent anticipated tariffs under the Trump administration. With a historic airlift valued at $2 billion, the company significantly bolstered its presence in the U.S. market, facilitated by key suppliers Foxconn and Tata Electronics. The coordination to expedite customs processes further underscores Apple’s commitment to maintaining its competitive edge in a challenging economic environment.
Original Source: www.hindustantimes.com
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