Apple has significantly increased its iPhone production in India, assembling $14 billion worth of devices in the last fiscal year. This shows a doubling of production from the previous year and also shows that Apple is accelerating efforts to diversify its manufacturing base beyond China, where, let’s be honest, it hasn’t been performing the best, thanks to competition from Huawei and restrictions on foreign technology.
But still had some amazing numbers last year. This comes while geopolitical tensions between the United States and China are ongoing.
India, on the other hand, has emerged as a more attractive manufacturing destination for Apple. The Indian government has been actively wooing foreign firms with financial incentives, and this has paid off in the form of increased job creation in the manufacturing sector.
Apple’s current production in India mainly focuses on assembling iPhones, from the iPhone 12 to the latest iPhone 15. However, the higher-end Pro and Pro Max models are still manufactured in China. Most of the iPhones assembled in India are exported, as Apple only accounts for a small share of the domestic smartphone market, which, as I have noticed, has been increasing exponentially but still is dominated by cheaper Chinese brands.
Despite this, India’s mobile phone market is one of the fastest-growing in the world, fueled by a growing middle class and increasing internet penetration. Apple has also begun opening retail stores in India, with plans to expand its presence further in the coming years.
Analysts believe that Apple’s move to diversify its manufacturing base away from China can continue.
While China remains Apple’s largest iPhone-making hub and most important overseas market, the company is clearly looking to reduce its dependence on the country. India’s emergence as a manufacturing destination allows Apple to mitigate risks and tap into a growing market.
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