Apple is set to begin production of AirPods in India at Foxconn’s Hyderabad facility starting in April 2025, according to industry sources. This marks the second product category Apple will manufacture in India, following the iPhone.

A source familiar with the matter stated, "Production of AirPods will commence at Foxconn’s Hyderabad plant in April, but it will initially be exclusively for exports."

Foxconn’s Investment in Hyderabad Facility

In August 2023, Foxconn allocated $400 million (approximately Rs 3,500 crore) to establish the Hyderabad plant. Apple continues to dominate the global true wireless stereo (TWS) device market, holding a 23.1% market share in 2024—nearly three times that of its closest competitor, Samsung, which holds an estimated 8.5% share, according to research firm Canalys.

Trade and Tariff Considerations

The decision to manufacture AirPods in India comes amidst shifting global trade policies. Speculation suggests Apple might reconsider its production strategy in India following new reciprocal tariffs imposed by US President Donald Trump.

Apple recently announced a $500 billion investment in manufacturing within the US over the next four years. In response, the India Cellular and Electronics Association (ICEA) highlighted that India imposes a 20% import duty on hearables and wearables, whereas the US has zero import duties on these products. The ICEA has proposed eliminating these duties on imports from the US to encourage more investment.

The Trump administration is set to implement reciprocal tariffs on multiple countries, including India, starting April 2, potentially impacting Apple's long-term production strategies in the region.

Apple’s move to manufacture AirPods in India signifies its growing investment in the country’s electronics sector. However, evolving trade policies between the US and India may influence future decisions regarding production and exports.