As you would know, most of the iPhone production takes place in China and Vietnam, but Apple is slowly and steadily increasing its manufacturing in India as well. Not to brag, but India-based iPhone shipment to Europe and the Middle East is set to reach 2.5 billion by March 2023 (almost a 2x increase from March 2022!). But iPhones aren’t the only Apple products getting the ‘Indian touch’.
In the latest news, Jabil, Apple’s India-based supplier, has started building AirPod enclosures (plastic casings) in their huge 858,000 sq. ft. facility in Pune. These enclosures will then be sent to China and Vietnam, where they are assembled into finished products.
Apple is likely to make this switch to move their production out of China due to the Covid-related issues and US trade restrictions that had stalled production previously. But that might be easier said than done. According to Bloomberg, it might take up to 8 years to shift just 10% of the production out of China, which currently makes up about 98% of iPhones.
Chinese suppliers are also seeking approval from the Indian government to produce components in India with joint ventures with local manufacturers, following the news that the Indian government is designing plans to offer financial incentives to firms that make wireless earphones and smartwatches in India. This may be why Apple wants to triple its iPhone production in India within the next two years.
India seems to be in a pivotal position in Apple’s elaborate plan, a mutually beneficial endeavour that might take the relationship between Apple and India to a brighter future riding to the sunset at the end of the story. But the news raises a lot more questions than it answers. Will the shift benefit the customers in some way? Will the AirPods get cheaper? Will India become the prime manufacturer of apple devices?
What do you reckon? Comment down below!