Apple Inc’s next-generation iPhone 15 is starting production in Tamil Nadu, as the company aims to reduce the gap between its manufacturing operations in India and its main base in China. According to sources, a Foxconn Technology Group plant in Sriperumbudur is gearing up to deliver the latest devices shortly after they start shipping from Chinese factories. This move comes as Apple strives to increase the volume of new iPhones coming from India and reduce its reliance on China amid trade tensions. India, under Prime Minister Narendra Modi, has been working towards building stronger ties with the US and establishing itself as a manufacturing hub.
Prior to the iPhone 14, Apple had only a small portion of its iPhone assembly in India, with a lag of six to nine months compared to China’s output. However, this delay was significantly reduced last year, and as of the end of March, Apple produced 7% of its iPhones in India. The goal for this year is to bring shipment timing from India and China closer to parity. Although suppliers are uncertain if it can be achieved, efforts are being made to scale up India’s iPhone production, contingent on the availability of components and the smooth ramp-up of production lines at the Foxconn factory in Chennai.
The upcoming iPhone 15, expected to be announced on September 12, is set to be the biggest update to the device in three years. It will feature major upgrades to the camera system across all models, with the Pro models getting an improved 3-nanometer A16 processor. The success of the new iPhone range is crucial for Apple to boost its declining sales, which have been affected by sluggish consumer demand in key markets such as the US, China, and Europe.
Other Apple suppliers in India, including Pegatron Corp and a Wistron Corp factory being acquired by the Tata Group, will also soon begin assembling the iPhone 15, according to the sources. Apple representatives, as well as those from Wistron and Pegatron, declined to comment on the matter, while Foxconn did not respond to a request for comment.
Over the years, Apple has been expanding its presence in India through its Taiwanese suppliers, taking advantage of financial incentives provided by the Modi administration to boost high-end manufacturing. This has resulted in Apple tripling its iPhone production in India to over US$7 billion (RM32.49 billion) in the fiscal year that ended in March. India’s fast-growing market is now seen by Apple as both a retail opportunity and an important production base for its gadgets in the long run. Although exact numbers have not been disclosed, iPhone sales in India grew double digits to reach a new high in the quarter ended in June.
During his trip to India in April, Apple CEO Tim Cook expressed the company’s commitment to grow and invest in the country. He stated that Apple sees India as a strategic market both for retail and production. Bloomberg
Credit: The Star : Tech Feed
