Global tech giant Apple shifts some iPhone 14 production from China to India
New Delhi, April 6: iPhones made in India has recently increased the volume of production and has accelerated plans to shift some of its production outside China according to sources. Apple has been telling its suppliers to plan actively for assembling the company’s products elsewhere in Asia, might be in Vietnam or India.
The shipment volume of iPhones in 2022 manufactured in India, which increased by 65 per cent year after year. According to the data the value of iPhones rose by 162 per cent, South China Morning Post reported citing a report published by market research firm Counterpoint last week. Apple accounted last year for 25 per cent of the value of India’s shipment of smartphone. It has shown a rise from 12 per cent in the year 2021 according to reports.
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Apple is one of the global tech company and this decision came after a series of protest staged by thousands of workers at Foxconn’s plant in China’s Zhengzhou amid strict Covid-19 curbs, according to a report in Wall Street Journal. The plant in Zhengzhou, which is run by Foxconn to make iPhones and other Apple products, it nearly houses 300,000 workers. It produces the majority of its premium models including the iPhone 14 Pro.
Apple is trying to reduce their reliance on China for production amid rising tensions between Beijing and Washington. The production might disrupt in China due to the Chinese government's stringent COVID-19 measures, according to the report.
In 2020, India launched a $6.65 billion plan that offered incentives to global smartphone makers for shifting their production to the country. Apple contract manufacturer Foxconn Technology is reportedly intending to invest around $700 million in a new plant in India to enhance local production, according to the news report.
The decision has raised concerns among social media users in China that the country was at risk of losing its primary role in Apple's manufacturing supply chain, Xinmei Shen said in the news report. India is expected to assemble up to 50 per cent of Apple's iPhones by 2027, which shows an increase from fewer than 5 per cent at present, The South China Morning Post reported citing Taiwan's Digitimes Research forecast in January.
Earlier, on March 5, Foxconn announced a major investment in Karnataka that will generate over one lakh job opportunity, according to an official statement. As much as 300 acres of land has been identified for this purpose near the Bengaluru International Airport in Doddaballapura and Devanahalli taluks.
During his visit to India, Young Liu met with Prime Minister Narendra Modi. They discussed topics related to enhancing India's tech and innovation ecosystem.
Hon Hai Technology (Foxconn) tweeted, "Chairman Young Liu is visiting India. Today we had a warm meeting with Honourable Prime Minister @narendramodi and updated him on our good progress in the country. Foxconn will continue to build an ecosystem in India allowing all our stakeholders to share, collaborate and thrive."
In response to a tweet by Hon Hai Technology Group (Foxconn), PM Modi tweeted; "Had a good meeting with Young Liu. Our discussions covered various topics aimed at enhancing India's tech and innovation eco-system."
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- ANI
