Apple has ramped up its iPhone production in India, reaching a substantial $14 billion in fiscal 2024, as reported by Bloomberg News. This surge marks a significant milestone for the tech giant, with approximately 14 per cent (or one out of seven) of its flagship devices now being manufactured in the South Asian country, according to sources familiar with the matter.
The report highlights that Foxconn, a key Apple supplier, accounted for nearly 67 per cent of the India-made iPhones, while Pegatron Corp contributed around 17 per cent. Additionally, Wistron Corp's facility in Karnataka, which was taken over by the Tata Group last year, handled the remainder of the production.
This move by Apple comes amidst growing tensions between China and the United States, prompting the company to diversify its supply chain away from its traditional manufacturing hub in China. Despite this expansion, China still retains its status as the primary manufacturing centre for iPhones globally.
In a separate development earlier this week, Pegatron is reportedly in advanced discussions to transfer control of its sole iPhone manufacturing plant in Tamil Nadu to the Tata Group. The Indian conglomerate is also in the process of constructing another facility in Hosur, Tamil Nadu, with Pegatron likely to be involved as a joint venture partner.
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Accommodations For Apple Workers
Moreover, mirroring its practices in China and Vietnam, Apple is now focusing on providing residential accommodations for its factory workers in India. A report by the Economic Times suggests that Apple's contract manufacturers and suppliers, including Foxconn, Tata, and Salcomp, are working on developing housing facilities for their employees.
Through a public-private partnership initiative, these accommodations aim to address the housing needs of the workforce, with plans to build over 78,000 units. Tamil Nadu is expected to receive the majority of these units, with the State Industries Promotion Corporation of Tamil Nadu (SIPCOT) overseeing the construction process. Additionally, the Tata Group and SPR India are also actively participating in these efforts to provide housing for workers, as per the report.