Current facility of Foxconn in Brazil — image credit: Foxconn
Media reports from Sao Paulo confirm that iPhone manufacturer Foxconn is indeed expanding its operations in Brazil, despite Apple’s claims of not increasing production and having no plans to circumvent U.S. tariffs.
For years, Apple has aimed to reduce its dependence on China for iPhone production, prompting its suppliers to set up facilities in various countries. However, Apple states that its Brazilian production is specifically intended for local sales and will continue in this manner until at least late April 2025.
This clarification came in response to a local publication, Exame, which suggested that Foxconn was expanding its facilities to manufacture iPhones for export to the U.S. The details were vague, but it mentioned that this expansion would occur at Foxconn’s plant in Jundiai, located in southeastern Brazil.
Latest Developments
Exame has now reiterated its original claims, framing it as an “anticipation” of Foxconn’s actions. While the report suggests confirmation, it lacks solid evidence for its assertions.
The primary assertion is that Foxconn is expanding production to facilitate iPhone exports to the U.S., benefiting from lower “reciprocal” tariffs compared to those from China. This is a claim Apple has consistently denied.
Currently, Foxconn produces the iPhone 13, iPhone 14, and iPhone 15 in Brazil. The Brazilian telecommunications regulatory agency, Anatel, has recently permitted Foxconn to manufacture the iPhone 16 as well.
However, this authorization currently only covers the base models. The iPhone 16 Pro and iPhone 16 Pro Max are still imported into Brazil for retail.
Apple has indicated it is modifying its supply chain to sell more iPhones made in China outside the U.S., while increasing imports of iPhones from countries with lower tariffs.
Thus, it’s possible that production in Brazil could increase, although Apple has primarily discussed expansions in India and Vietnam.
Planning Began in 2024
These adjustments come in light of the unexpected magnitude of tariffs reinstated during Trump’s administration. Exame also claims that Foxconn initiated plans for its expansion sometime in 2024.
If this is accurate, it likely involves upgrading existing machinery in Foxconn’s Brazilian facilities and revising local manufacturing processes, although there is no information about the addition of new production lines or facilities.
Foxconn already benefits from various local tax incentives for its manufacturing operations, which would likely continue with any expansion, making production costs more favorable compared to China.
Regardless of whether Apple is indeed expanding its iPhone production through Foxconn in Brazil, it still faces legal and regulatory challenges in the country. In March 2025, a Brazilian judge ordered Apple to allow third-party app stores within 90 days or face substantial daily fines, though this ruling was quickly overturned on appeal.