Apple Inc. increased its iPhone production in India over the previous fiscal year, exceeding the $7 billion milestone and tripling its output in the country. Its growth is a result of the company's attempts to diversify its manufacturing industry and decrease its dependence on China. The American business currently manufactures approximately 7% of its iPhones in India through increasing partnerships with companies like Foxconn Technology Group and Pegatron Corp.
India produced an estimated 1% of the world's iPhones in 2021 which reflects a sizable increase.
While geopolitical tensions between the US and China continue to be high, Apple is apparently looking into ways to lessen its reliance on China for product manufacture. Despite the fact that Apple has rapidly grown it's assembly lines over the past year in vast Chinese facilities which presently manufactures the majority of the world's iPhones, the tech giant is exploring alternative manufacturing options to mitigate risks to its supply chain.
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Meanwhile, the Indian government, under PM Modi's leadership, has put in place a number of incentives to support domestic production, giving Apple an alternate option to lessen its reliance on China.
Reportedly, Apple shipped $5 billion worth of iPhones in the fiscal year that ended in March 2023, more than quadrupling its prior output. Moreover, by 2025, Apple might build 25% of all its iPhones in India if the ambitious development pace of its supplier is maintained.
Next week, Apple will debut its first two retail locations in India, one in Mumbai, a major financial centre, and the other in New Delhi, the country's capital. Tim Cook, the chief executive, will fly in to personally open the two stores, highlighting the growing significance of the local market.
As part of its aim to increase local manufacturing and build megafactories, Cupertino, California-based Apple has also asked for modifications to India's labour regulations.
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