Apple is making significant strides in expanding its iPhone production in India, focusing on increasing its annual assembly capacity, which currently stands at between 30 million and 40 million units. This production volume accounts for about 20% of Apple's global iPhone output, indicating a strategic shift to diversify manufacturing away from China.
According to Insider Monkey, Apple plans to boost its Indian production by approximately 10% by 2025. This move is seen as a strategic response to leverage India's favorable conditions amidst ongoing US-China tariff disputes. The increase in production aligns with Apple’s strategy to mitigate risks associated with geopolitical tensions while capitalizing on the economic benefits of manufacturing in India.
As part of its strategy, Apple has been exporting a significant portion of its Indian-produced iPhones, with Foxconn's factory in Tamil Nadu playing a crucial role. These exports have seen substantial growth, illustrating India's increasing importance in Apple's global supply chain. Furthermore, Apple's operations in India have led to a 60% increase in turnover, highlighting the economic benefits and potential for further growth in the region.