U.S-based Tech giant apple has announced that it will move some of its manufacturing productions from china to India a decision thought to be influenced by political tensions between Washington and Beijing over Taiwan
Taiwan-based Foxconn manufactures the majority of Apple’s phones, has had an operation in the southern Indian state where it makes older versions But now, Apple is planning big to manufacture its latest product, the iPhone 14 in India.
Apple taking the market further to India, is looked at as a move to increase its footprint in the country fighting to increase its market share which was a meager 4% in India las year.
Chinese smartphones continue to dominate the Indian smartphone market. But manufacturing in India does not mean the phones will be cheaper in the country due to high import duties on components.
Whereas Indians may soon be looking at the ‘Made in India’ tag on their iPhones, they will still have to pay some good sum of money to own them.
Apple’s announcement of it’s production in India marks its latest move towards diversifying supply chains to avoid disruptions as tensions rise between China and the US over Taiwan and trade.
At the beginning of this month, analysts at investment bank JP Morgan said that they expect Apple to move around 5% of iPhone production to India this year. According to the report there is also a prediction that a quarter of all iPhone production will be in the South Asian nation by 2025.
Last year in 2021, Apple supplier Foxconn invested $1.5bn (£1.4bn) in Vietnam, according to the South East Asian country’s government.
The technology giant company unveiled its latest iPhone ( iPhone 14) earlier this month.
“The new iPhone 14 line-up introduces groundbreaking new technologies and important safety capabilities. We’re excited to be manufacturing iPhone 14 in India,” said Apple.