Apple may be starting to move more of its manufacturing out of China. iPhones made in India—and originally intended just for the Indian market—are starting to ship to European markets, according to a report in The Economic Times, which cites a market analyst who tracks export data.
Specifically, Indian-made iPhones 6s and iPhone 7 models are being exported to Europe. Apple began manufacturing iPhones in India to get around local import taxes. The exporting began several months ago and in quantities of less than 100,000 a month, but could be the start of something bigger.
For years now, Apple has overwhelmingly depended on China as its manufacturing base. But as trade tensions escalate between China and the U.S., any dependence on manufacturing in China could be a major risk for the tech giant. India could become an important base in Apple’s sprawling supply chain.