Apple Accelerates iPhone Production in India: Apple Inc. is intensifying its manufacturing shift to India, with Tata Electronics commencing iPhone production at its new facility in Hosur, Tamil Nadu.Meanwhile, Foxconn is poised to begin operations at its Bengaluru plant, reinforcing India’s role as a pivotal hub in Apple’s global supply chain.
Apple Accelerates iPhone Production in India: Tata Electronics Launches iPhone Production in Hosur
Tata Electronics has initiated the assembly of older iPhone models on a single line at its newly established plant in Hosur, Tamil Nadu. This development marks a significant milestone in Apple’s strategy to diversify its manufacturing base beyond China. The Hosur facility, part of Tata’s broader expansion plans, is expected to bolster India’s electronics manufacturing capabilities.
Foxconn’s Bengaluru Facility Nears Operational Status
Foxconn, a key Apple supplier, is set to commence initial operations at its $2.6 billion facility in Bengaluru, Karnataka. The plant will start with one assembly line, with plans to scale up production in the coming months. This move aligns with Apple’s objective to increase iPhone production in India, mitigating risks associated with geopolitical tensions and supply chain disruptions.
India’s Growing Significance in Apple’s Supply Chain
India’s prominence in Apple’s manufacturing strategy is underscored by the country’s production of approximately 15% of the company’s global iPhone output. This shift is driven by factors such as rising U.S.-China trade tensions and the need for supply chain diversification. Apple aims to source the majority of iPhones sold in the U.S. from India in the near future.
Economic Impact and Job Creation
The expansion of iPhone production in India is expected to generate substantial employment opportunities. Foxconn’s operations have already led to a significant increase in its Indian workforce, which grew by 65% to around 80,000 employees in the fiscal year 2024-25. Similarly, Tata Electronics’ new facility is anticipated to create numerous jobs, contributing to India’s economic growth.
Apple’s accelerated investment in Indian manufacturing, through partnerships with Tata Electronics and Foxconn, signifies a strategic pivot in its global production approach. As new facilities become operational, India is poised to play an increasingly vital role in Apple’s supply chain, offering economic benefits and reinforcing the country’s position as a global manufacturing powerhouse.
Indian Government Support Boosting Apple’s Expansion
India’s central and state governments have been actively encouraging global technology giants like Apple to establish manufacturing units in the country. The Production-Linked Incentive (PLI) scheme for electronics manufacturing has played a pivotal role in attracting major players. Both Tata and Foxconn have benefited from these incentives, which are designed to make India a competitive alternative to other manufacturing hubs like China and Vietnam.
The Uttar Pradesh and Tamil Nadu governments have also provided infrastructural and logistical support, including faster clearances and land allocations, to facilitate smooth setup and expansion of Apple-related projects. These regional efforts highlight India’s serious commitment to becoming a top-tier electronics manufacturing destination.
iPhone Production: A Strategic Diversification
The global shift in Apple’s manufacturing footprint comes as the tech giant attempts to insulate itself from potential disruptions in China, where it has historically concentrated most of its supply chain. COVID-era lockdowns, ongoing U.S.-China tensions, and rising labor costs have all contributed to Apple’s urgency to find a viable, stable, and scalable alternative.
India, with its vast talent pool, growing digital economy, and increasing consumer demand, fits that profile. Analysts estimate that by 2026, India could assemble 25% of the world’s iPhones, a dramatic leap from just 1% in 2021. Apple’s increasing reliance on Indian facilities shows not only the company’s confidence in the country’s capabilities but also a broader trend of supply chain decentralization.
Looking Ahead
As Tata ramps up production and Foxconn prepares to follow closely, Apple’s Indian footprint is set to grow exponentially. In the coming years, consumers may see more “Made in India” labels on Apple products globally. This evolution not only strengthens India’s global economic standing but also opens up new opportunities for innovation, jobs, and advanced technology development on Indian soil.