Apple to make 25% of iPhone production in India by 2025, India official says

Apple to make 25% of iPhone production in India by 2025, India official says

One of the country s top government officials said that the US tech giant is trying to diversify from its main manufacturing hub in China and is looking to boost production in India to about a quarter of its global total.

Piyush Goyal, India's trade and industry minister, said they are already at 5 -- 7% of their manufacturing in India. If I am not mistaken, they are targeting to go up to 25% of their manufacturing. Goyal's comments are somewhat more aggressive than what Apple has told New Delhi previously. Apple's three key Taiwanese suppliers - Foxconn Technology Group, Pegatron Corp. and Wistron Corp. - applied for financial incentives to ramp up Indian smartphone production and exports.

As part of the plan, the companies pledged to have 20% of iPhone volume in India by the end of March 2026, according to Bloomberg Businessweek last month. Apple did not respond to a request for comment.

After years of success with manufacturing in China, Apple has started to diversify as a result of rising tensions between the US and China, as well as Communist Party policies that hampered production. The lockdowns at Foxconn's main iPhone plant in Zhengzhou led to worker revolts and forced it to trim output estimates last year.

As the Cupertino, California-based company introduced its latest iPhone last year, it significantly shortened the time between the first China-made model and the first India-made version. It is making more of the iPhone 14 s in India than any previous version.

Goyal said that they launched the most recent models from India, which were manufactured in India.

The minister's comments seem to echo a report by JPMorgan Chase Co. last year that said Apple will make 25% of all iPhones in India by 2025. Goyal didn't specify whether the higher target would include the assembly of other products in India, such as iPads and MacBook laptops, as well as not giving a timeline.

Goyal s ministry and India's tech and finance ministries have played a key role in shaping a $6.7 billion production-linked incentive scheme that promises cash to companies that boost local smartphone production. From April to December, Apple exports more than 2.5 billion iPhones from India - nearly twice the previous fiscal year's total.

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