Apple is reportedly preparing to start initial production of the iPhone 17 in India, marking a significant shift in its production strategy. Traditionally, Apple has prioritized supply stability by launching early production stages in China before moving to other countries. This decision reflects Apple’s confidence in India’s maturing production capabilities and accelerates its plans to reduce reliance on Chinese manufacturing.
The Information reported that Apple will begin production of the base model iPhone 17, set for release next year, at Foxconn’s facility in India. According to the report, this move highlights Apple’s efforts to diversify its supply chain and underscores its trust in India’s engineering expertise. Historically, Apple has launched initial iPhone production solely at Foxconn’s Chinese facilities. However, as U.S.-China tensions continue, Apple has gradually moved some production to India, often after testing processes in China.
This shift in strategy began with the iPhone 16. Apple conducted production line tests for the iPhone 16 in China but simultaneously produced initial batches in China and India. Despite some quality issues in specific processes, Apple determined no significant problems. Now, for the iPhone 17, Apple plans to conduct testing and production line trials in India, extending its commitment to Indian manufacturing. Once India’s manufacturing capabilities are fully established, Apple plans to expand this process to other locations, including its major facility in Zhengzhou, China.
Apple’s strengthening of production capabilities in India serves a dual purpose: reducing dependence on China while capturing India’s rapidly growing smartphone demand. As the U.S.-China power struggle continues, Apple has set a long-term goal of relocating half of its iPhone production outside China. Continued efforts are necessary for supply chain diversification, as India currently only accounts for thirty million units out of the 200 million annual iPhone production.
While iPhone sales are declining in China due to anti-American sentiment, the popularity of iPhones in India continues to grow. Last year, Apple’s revenue in India increased by 33% to eight billion dollars, with half of this coming from iPhone sales. In response, Apple opened its first Apple Store in India last year. Tim Cook, Apple’s CEO, attended the opening ceremony.
Most Commented