<div id="readability-page-1"><div><div>Tech giant Apple Inc AAPL is one of many companies that could be hurt by tariffs placed on international markets for exporting items into America.To help combat the rising tariff rates, Apple has placed increased emphasis on diversification. Here's the diversification milestone the company recently reached.What Happened: Ahead of the highly anticipated launch of the iPhone 17, Apple has reached a milestone in production of all four models of the new phone in India.The company will be able to produce all versions of the upcoming phone, including professional versions. This marks the first time that all models will be made in India, according to a report from Bloomberg.Apple will produce the iPhone 17 at five factories in India, including two factories that recently opened.The increased production in India comes as Apple tries to lower its reliance on getting products imported from China. Apple has shifted the majority of its iPhone production to India from China for models specifically designed for the U.S. market.Indian conglomerate Tata Group is the owner of several of the plants in India, according to the report.Since April, Apple has exported $7.5 billion worth of iPhones from India, compared to $17 billion exported from India in the entire last fiscal year.Apple is also planning to use India to make the new iPhone 17e set for a 2026 release date, and the country could factor into the iPhone 18 production, according to the report.Read Also: Apple Stock To End 2025 On A High Note? 3 Product Announcements To Watch (And It’s Not The iPhone)Why It's Important: Constantly changing tariffs have left Apple with changing estimates on what the impact could be for the iPhone 17, with tariffs currently 50% on India and reciprocal tariffs on China paused until November, with a baseline of 10%.The iPhone and other electronics have been exempt from some tariffs by the Trump administration.Apple's current estimate is a $1.1 billion impact of tariffs for the current quarter. That figure could change depending on where rates on China and India stand and whether electronics are subject to the full tariff amount.Outside of producing items in China and India, Apple has also made efforts to win over the Trump administration through promises to invest more in American manufacturing.Apple CEO Tim Cook recently announced that the company would invest $600 billion to expand its U.S. operations. This move may have been made to secure exemptions on items imported from India. Apple is still using China to assemble iPhones set to be delivered to other countries. In 2021, China represented 99% of all global iPhone production. Last year, the figure fell to 81%. By 2027, China is expected to account for 50% of global iPhone production.By shifting production plans for U.S.-ready smartphones to India, Apple could enhance its diversification efforts and potentially lower its tariffs, given the likelihood that tariffs on smartphones from China will be higher than those from India in the coming months.Apple is likely to face tariff costs going forward, but the company's strategic shift to India production and the focus on winning over the Trump administration could help boost earnings and provide protection to the downside and worst-case scenarios that investors and analysts had predicted.AAPL Price Action: Apple stock is down 0.3% to $230.32 on Tuesday versus a 52-week trading range of $169.21 to $260.09. Apple stock is down 5.6% year-to-date in 2025.<ul> <li>Apple Stock To Get Boost $20 At A Time?: Inside Tech Giant’s Latest Plan To Monetize User Base</li> </ul>Photo: Prathmesh T on Shutterstock.com</div></div></div>

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Apple Inc. has reached a production milestone by manufacturing all models of the iPhone 17 in India, marking a significant shift from reliance on China. This move aims to mitigate the impact of tariffs, with Apple estimating a $1.1 billion tariff cost for the current quarter. The company has exported $7.5 billion worth of iPhones from India since April. Apple's strategy includes investing $600 billion in U.S. operations to secure tariff exemptions. Despite a 0.3% drop in stock price, this diversification could enhance earnings and reduce tariff risks.

- Apple Inc. is diversifying its production by manufacturing all models of the iPhone 17 in India, marking a significant shift from reliance on China.  
- The company has exported $7.5 billion worth of iPhones from India since April, as it aims to mitigate the impact of tariffs, which currently estimate a $1.1 billion cost for the quarter.  
- Apple's strategic move to India could enhance its diversification efforts and potentially lower future tariff costs, while also planning to invest $600 billion in U.S. operations to secure exemptions.  

Apple's India Production Milestone Could Cushion Earnings Against Tariff Impact