Apple is making a significant move to shift the production of most iPhones bound for the U.S. away from China, responding to ongoing tariff issues. CEO Tim Cook revealed that the majority of new iPhones will soon be manufactured in India, while Vietnam will take on a leading role for devices like iPads and Apple Watches. This transition comes as the company anticipates an additional $900 million cost from U.S. import taxes, despite key electronics avoiding new tariffs.

During an investor call, Cook emphasized Apple's commitment to investing $500 billion in the U.S. over the next four years, aiming to highlight job creation and economic contribution. While China will still produce most products for international markets, the shift to India and Vietnam reflects a strategic realignment amidst the complex global trade landscape.

Notably, experts caution that establishing operations in these new locations could require substantial investment and time. Despite the challenges, Apple’s revenue has remained strong, with a reported 5% increase in sales this quarter. Other tech giants like Amazon are also adapting to tariff pressures while maintaining sales growth. Overall, Apple's ongoing adaptations may position it favorably amid shifting trade policies.