Apple Stock 'One Of The Biggest Beneficiaries' Of US-India Trade Deal: 'Producing iPhones In The US Is A Fairy Tale'

Apple Inc.’s (NASDAQ: AAPL) stock continues to be pressured by tariff deals and the impact of imports from China and India.

A leading analyst sizes up the latest trade talks for the technology giant.

The Apple Analyst: Wedbush analyst Dan Ives maintained an Outperform rating on Apple with a $270 price target.

Read Also: Apple Reports ‘Strong’ Q2 Earnings: Revenue Beat, EPS Beat, Installed Base Hits All-Time High Across All Segments, $100 Billion Buyback And More

The Analyst Takeaways: In a new investor note, Ives said a potential trade deal between the United States and India would be beneficial for Apple's supply chain.

"We continue to believe one of the biggest US trade and tariff deals on the table that the Street and tech investors are laser-focused on is India," Ives said.

The analyst said India, with its high engineering talent, supply chain infrastructure, and technology workforce, threatens China's "elite tech supply chain" status.

"If the US announces a trade deal with India over the coming weeks we continue to believe one of the biggest beneficiaries is Apple and its iPhone supply chain capabilities." Ives said. "We continue to strongly believe one of the smartest moves that Cook and Cupertino made over the last few months was quickly pivoting to iPhone production/assembly in India."

He added that he sees "no chance" that iPhone production will come to the US in the near term despite tariff threats from President Donald Trump.

"The pressure from Trump Administration on Apple to build iPhone production in the US as we have discussed this would result in an iPhone price point that is a non-starter."

The analyst noted that US production could mean iPhone prices of around $3,500, and shifting production could take five to ten years.

"We believe the concept of Apple producing iPhones in the US is a fairy tale that is not feasible given the labor/cost structure."

Ives said Apple already signaled it shifted over 50% of iPhone production from the US to India, based on comments from its recent earnings call.

The analyst said Apple CEO Tim Cook is 10% politician and 90% CEO, but that may have shifted to 25%/75% due to the trade and tariff battles.

"We believe AAPL will continue to navigate this complex tariff situation in a game of negotiations with the Trump Administration."

Ives said Cook's ability to navigate the supply chain concerns could be his "Hall of Fame moment" for his legacy with Apple.

AAPL Price Action: Apple stock was up 1.7% to $198.60 on Tuesday, compared to a 52-week trading range of $169.21 to $260.10. However, it is down 18.6% year-to-date in 2025.

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