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Apple to shift major part of iPhone production from China to India

Global smartphone and tech company Apple last month announced the start of manufacturing of some models of its new iPhone 14 series in India. This is being seen as part of the company’s plan to reduce manufacturing in China. Due to increasing tension between the US and China, many American companies are changing their strategy regarding business in China.

The assembly of iPhone 14 series smartphones for the Indian market has begun at Foxconn’s plant near Chennai, which is contract manufacturing for Apple. Last week it was reported that Apple has decided to make some production of AirPods and Beats headphones in India for the first time. Analyst Ming Chi Kuo Tweets Tax has explained how the company plans to reduce its dependence on China. Disclosing important findings from the supply chain survey, he has given information about the company’s strategy related to supply chain management. This includes shifting the bulk of the production of the iPhone to India and moving some of the production and assembling of the MacBook to Thailand.

Kuo said that Apple plans to partner with the Tata Group for the global iPhone assembly business in India. Taiwan’s electronics manufacturing firms Pegatron or Wistron could also be involved in this plan. More than 80 percent of iPhones made in India are sold in the country.

iphone from india export has exceeded one billion dollars since April. This is indicating India’s becoming a major force in electronics manufacturing. At the current rate of exports of the company, this figure can reach $ 2.5 billion by March next year. Apple mainly exports the iPhone made in India to Europe and the Middle East. In the last financial year, the company exported smartphones worth about $ 1.3 billion from India. However, India’s share in the total production of iPhone is very less. The increase in exports is a good progress for Prime Minister Narendra Modi’s plan to make the country an alternative to China as a production hub. Apple has been producing most of its iPhones in China for many years.

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