The manufacturing move aims to address massive US tariffs against China that could spur higher prices on the company's biggest-selling product.

To combat rising tariffs, Apple has already increased production in India, sending about 600 tons of iPhones worth $2 billion to the U.S. in March. These shipments marked a record for both Foxconn and Tata, with Foxconn alone contributing $1.3 billion in iPhone shipments.