Kathrine Frich
China’s smartphone exports to the US plummeted from 61% in Q2 2024 to just 25% a year later.
China’s smartphone exports to the US plummeted from 61% in Q2 2024 to just 25% a year later.
India Overtakes China
For the first time in history, India has become the number one exporter of smartphones to the United States, according to a new report by Canalys.
The dramatic shift marks a milestone in global tech manufacturing and reflects broader geopolitical changes in the US-China trade relationship.
India’s Export Surge Stuns Industry
In Q2 2025, 44% of smartphones imported into the US were assembled in India, up from just 13% in the same quarter last year.
That’s a staggering 240% year-on-year growth in total smartphone shipments from India, which Canalys analysts have described as “spectacular.”
China Falls to Third Place
Once the dominant player, China has seen its smartphone exports to the US plummet from 61% in Q2 2024 to just 25% a year later.
That drop has pushed China into third place, trailing behind both India and Vietnam in US-bound smartphone exports.
Vietnam Quietly Climbs to Second
While most attention has focused on India and China, Vietnam has also made significant gains.
Now holding a 30% share of the US smartphone import market, Vietnam has quietly slipped into the second spot, another sign of Asia’s shifting production landscape.
Apple Leads the India Shift
Apple has been the main driver behind India’s rapid export rise. In an effort to diversify its supply chain away from China, the tech giant has significantly ramped up production in India.
This move has been crucial in helping India leapfrog its Asian rivals.
Tariffs Fuel the Realignment
US tariffs have played a major role in the shift. While China faces tariffs over 100% on smartphones, India was hit with a 26% duty by the Trump administration in April.
However, those duties have been temporarily suspended until August 1, creating a window of opportunity for Indian exporters.
Canalys: “A Historic Moment”
Analyst Sanyam Chaurasia of Canalys called the development “a historic moment,” noting it’s the first time India has surpassed China in this high-value tech sector.
The implications for global trade and manufacturing could be long-lasting.
Geopolitics Behind the Numbers
The smartphone export shift comes amid rising trade tensions between Washington and Beijing.
With US companies looking to reduce reliance on Chinese factories, countries like India and Vietnam are poised to become major tech manufacturing hubs.
