- India’s import tariff is set to rise from 25% to 50% on select goods starting August 27, affecting global supply chains.
- Apple avoids immediate impact due to an exemption for semiconductor-based products like iPhones assembled in India.
- Future trade uncertainty remains as policy changes could remove current exemptions and bring new challenges for Apple.
The U.S. and India are getting into more complicated trade stuff lately. A new India tariff is about to go live starting August 27. And it’s a big one, it’s going to double the duty from 25% to 50% on selected imports. That’s a lot. Companies importing these goods are going to feel it, no doubt.
This isn’t the first time, either. There was already a round of tariffs back on August 1. Now this is just the next step. Basically, if you’re running a business that depends on products coming in from India, you’re probably already trying to figure out how to deal with the rising costs.
Apple escapes new India tariff for now, but future looks shaky
Apple isn’t hit. At least, not yet!
Yeah, that’s the interesting part. Even though this new India tariff is affecting a lot of businesses, Apple is in the clear for now. Why? Because the products that contain semiconductors, like iPhones, are currently excluded from this hike, reports CNBC.
So if you’re wondering why Apple isn’t freaking out right now, this is the reason. This small exemption basically gives them a free pass for now.
And to be honest, Apple didn’t just get lucky here.
Apple planned this for years
If you’ve been following Apple, you’d know they’ve slowly been shifting their manufacturing out of China. India became a major part of that move. And now it’s paying off. Companies like Foxconn and Pegatron, which work with Apple, are already assembling all five iPhone 16 models in India.
And those phones aren’t just for India. They also ship them to places like the U.S. So when this India tariff showed up, Apple was already kinda protected. No last-minute changes needed.
This just shows how long-term planning sometimes works in their favor.
But this isn’t over
Just cause Apple’s safe now doesn’t mean it’ll stay that way. The exemption on semiconductor products? It’s not permanent. It can go away anytime if the political scene changes, which it often does.
There’s also talk that Trump might come back with more taxes, this time even including semiconductor-related stuff. If that happens, Apple might end up in the crosshairs.
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To avoid that, they’ve already started throwing money into U.S. production. There’s even talk of a $100 billion investment into their local facilities. Smart move if you ask me. They’re trying to stay ahead of whatever might come next.
So yeah, right now, Apple’s not affected by the India tariff, but it’s a risky place to be in. One policy change and they might get caught up just like everyone else. Their bet on India is working out for now, but they still gotta play it safe both in India and the U.S.
