United States sees India surpassing China as the key supplier of imported smartphones
=============================================================================
In a significant shift, India has emerged as the leading source of smartphones supplied to the US market in Q2 2025, accounting for 44% of US-bound smartphone shipments[1][2][3][4]. This surge overtook China, whose share fell sharply to 25% from 61% in Q2 2024.
The primary driver behind this change is Apple's accelerated expansion of iPhone production in India. As part of its 'China Plus One' strategy, Apple has scaled up its production capacity in India, even manufacturing and assembling Pro models of the iPhone 16 series[1][2][3][4]. This strategic move has been a significant factor in India's rise as the leading smartphone manufacturing hub for the US market.
Samsung and Motorola have also contributed to this supply chain transition, albeit to a lesser extent compared to Apple. Samsung recorded a substantial 38% year-on-year increase in US-bound shipments, mainly driven by its Galaxy A-series smartphones produced in India[1][3]. Motorola’s role is less highlighted but is part of the broader ecosystem of phone brands increasing production or shipment volumes from India. Other Indian-sourced brands like Vivo and OPPO also led the shipments from India, further boosting India's export share[1].
Here's a summary of the key roles:
| Company | Role in Supply Chain Shift Q2 2025 | Impact | |----------|---------------------------------------------------|--------------------------------------------------------------| | Apple | Major driver by expanding iPhone manufacturing in India | Massive increase in Indian-made smartphone exports to US; primary factor for India overtaking China | | Samsung | Increased production/shipment from India, Galaxy A-series focus | 38% year-over-year shipment growth to US; supports India’s export volume increase | | Motorola | Smaller role in Indian supply chain growth | Part of growing Indian smartphone export ecosystem |
The surge in India-sourced smartphones to the US market is largely a consequence of Apple’s supply chain diversification strategy amid US-China trade tensions, with Samsung and Motorola supporting the trend by also scaling production or exports from India[1][2][3][4].
It is worth noting that even though smartphones remain exempted from tariffs, other categories might be impacted, which could keep smartphone demand modest in H2 in the US. The shift in US smartphone market supply chain was primarily due to tariff negotiations uncertainty with China.
[1] [Source 1] [2] [Source 2] [3] [Source 3] [4] [Source 4]
(This article was published on July 29, 2025)
- The economy of India is experiencing a boost due to it becoming the leading source of smartphones supplied to the US market, with India accounting for 44% of US-bound smartphone shipments in Q2 2025.
- Apple's accelerated expansion of iPhone production in India, as part of its 'China Plus One' strategy, has been a significant factor in this shift, with Apple manufacturing Pro models of the iPhone 16 series in India.
- Samsung and Motorola have also contributed to this supply chain transition, with Samsung recording a substantial year-on-year increase in US-bound shipments, mainly driven by its Galaxy A-series smartphones produced in India.
- A subscription to Bloomberg or a similar business analysis platform would provide insights into the ongoing changes in global trade markets and the impact of these changes on various industries, such as the smartphone industry.
- The technology sector, especially companies involved in smartphone manufacturing, is experiencing significant changes due to shifts in trade markets and the strategic decisions of major players like Apple, Samsung, and Motorola.
- The US-China trade tensions have played a role in the move towards sourcing smartphones from India, as tariff negotiations between the two countries have caused uncertainty in the US market, leading to a shift in the smartphone market's supply chain.
