Apple’s $7 Billion Bet On India: iPhone production triples in India as China loses big time

Apple’s production of various products in its Indian factories skyrocketed to a whopping $7 billion in the last fiscal year. This has been an impressive feat given that most of Apple’s production facilities in India are still in their nascent stage. Apple has been moving its production facilities away from China and into India and Vietnam. Out of these two countries, Apple seems to favour India as it plans to have at least 25 per cent of all Apple devices being manufactured, to come out of India by 2030.The journey from 1 per cent to 7 per centApple has almost tripled its production in India - in 2021, Apple’s Indian production facilities constituted just 1 per cent of the iPhones sold globally. Moreover, a majority of the iPhones produced back then, weren’t the latest iPhones, but ones that were already outdated. It is only with the iPhone 13 and iPhone 14 where Indian facilities started making the latest iPhones that Apple had to offer.It is not just Apple that wants to invest in India and expand its business here. Apple’s manufacturing partners, Foxconn, Pegatron Corp, and others have not only been keen to move their facilities to India but also facilitate the establishment of new logistical solutions and supply chains. Things haven’t been easy for Apple in conducting their business in China. Apart from the issues that arose from the CCP’s handling of COVID, there are also a number of other issues, especially perception-based issues such as the uprising at Zhengzhou, which Apple would have loved to do away with.At the same time, certain Indian states have also made some radical changes to their labour laws to make things more conducive for Apple.A renewed focus on IndiaIndia has turned out to be a pleasantly surprising hit for Apple, which reflects in its decision to focus a major chunk of its manufacturing prowess towards the country and away from China. Apple is pursuing a lot of avenues and growth opportunities in India, which is the world’s fastest-growing smartphone market. Furthermore, this shift underscores Apple's strategic move to diversify its supply chain, reducing its dependence on China.Not only India has been designated as its own sales region now, Apple will also be setting up their own retail outlets, one in Mumbai’s BKC and the other in Delhi’s Saket, at least one of which will be inaugurated by Tim Cook himself.Apple is also planning to expand its production facilities in India and bring on more production partners. The Tata Group, in particular, is very keen to set up production facilities and retail spaces in partnership with Apple. India replaces China?As much as Apple tries to move away from China, the fact of the matter is that a vast portion of the manufacturing R&D takes place in China, the production of the iPhones and most other products first begin in China, and most of the top-secret development of the hardware and components takes place in China. But, perhaps, all that is set to change soon.Apple has indicated that its manufacturing partners will set up their R&D facilities in India soon. Moreover, Apple plans to start manufacturing the iPhone 15 series in September, at the same time as the factories in China. Read all the Latest News, Trending News, Cricket News, Bollywood News,India News and Entertainment News here. Follow us on Facebook, Twitter and Instagram.