According to a report by Bloomberg on Wednesday, Apple’s iPhone production in India reached $14 billion in the last fiscal year, marking a significant step in the company’s strategy to diversify manufacturing beyond China.
Amidst strained U.S.-China relations, Apple has actively sought to broaden its supply chain, expanding production to countries such as Vietnam and India. This represents a notable departure from its traditional reliance on China for manufacturing.
Reportedly, Apple now manufactures approximately 14% of its iPhones in India, doubling its output from the previous year. Pegatron, Foxconn, and Wistron are the key manufacturers involved, with Pegatron assembling around 17%, Foxconn producing about 67%, and Wistron handling the remainder.
In June 2023, Apple’s CEO Tim Cook, along with other tech executives, met with India’s Prime Minister Narendra Modi at the White House. Cook emphasized the immense potential India holds, stating it as a “huge opportunity” in an interview with CNBC following the meeting. Last year, Apple launched its inaugural retail stores in India.
Although China remains a critical market for Apple, sales have faced challenges this year. A report by Counterpoint Research in March revealed a 24% decline in iPhone sales in China during the first six weeks of 2024. Competition from rivals such as Huawei has intensified, posing significant challenges to Apple’s market position.
