Apple has been trying to reduce its dependency on China for the manufacturing of its products. The pandemic made the company understand how it is important to diversify its production to different countries. Moreover, the recent Covid-19-related disruption at the world’s biggest iPhone assembly plant in China also nearly cost the company billion dollars per week. Currently, India has been established as Apple’s second-largest iPhone production centre in the world.
Last year, the company was planning to hit an important milestone by starting iPhone 14 assembly in both China and India, simultaneously. However, that didn’t happen in 2022 and Apple started producing iPhone 14 in India in September last year. The company is expected to start producing the iPhone 15 models (which will be released in 2023) in both countries at the same time.
A previous report claimed that Apple may produce a quarter of all iPhones in India by 2025. Now, a new report claims that the company may assemble half of all iPhones in India by 2027. According to a report by the South China Morning Post, India may produce one in two of the world’s iPhones by 2027. The report also claims that local suppliers are already feeling the effects of Apple’s efforts to move production out of the country. Moreover, Vietnam has also been benefiting from the company’s plan to reduce its dependency on China.
Last year, the company was planning to hit an important milestone by starting iPhone 14 assembly in both China and India, simultaneously. However, that didn’t happen in 2022 and Apple started producing iPhone 14 in India in September last year. The company is expected to start producing the iPhone 15 models (which will be released in 2023) in both countries at the same time.
A previous report claimed that Apple may produce a quarter of all iPhones in India by 2025. Now, a new report claims that the company may assemble half of all iPhones in India by 2027. According to a report by the South China Morning Post, India may produce one in two of the world’s iPhones by 2027. The report also claims that local suppliers are already feeling the effects of Apple’s efforts to move production out of the country. Moreover, Vietnam has also been benefiting from the company’s plan to reduce its dependency on China.
iPhone production in India
A Bloomberg research reports that currently, just 2.27% of Apple’s supplier facilities are located in India. This puts the country in the 8th position after the US, China, Japan, Germany, the UK, Taiwan, France and South Korea. However, that is changing at a rapid pace.
The report claims that iPhone shipments from India have doubled from April to December 2022 (compared to the same period in 2021). Apart from this, contractors, including Chinese ones, have also rushed there to set up plants in Vietnam which indicate that Vietnam’s share of making Apple’s MacBooks and AirPods is also expected to rise.
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