Apple To Ramp Up Manufacturing Of iPhone 17 In India: Report

Cupertino-based big tech major Apple is reportedly planning to ramp up the production of its iPhone 17 across all five factories in India, including the two which were recently added. 

A Bloomberg report states that the company is increasing the production of its iPhones in India to diversify its manufacturing supply chain and lessen its dependence on China. 

The Bloomberg report also mentions that all four models of iPhone 17 will be built in India and production will be increased in Tata Electronics’ Hosur and Tamil Nadu units and Foxconn’s sites near the Bengaluru airport. 

Apple’s Push To Diversify Its Global Manufacturing Supply Chain

It was in late April this year that Apple decided to take out most of the iPhone manufacturing from China. Besides, the company decided that by 2026, it will shift the entire assembly of iPhones sold in the US to India. 

The decision came on the back of China’s aggression on the US earlier this year when the country increased its tariffs on US exports. During the trade war when the US levied 145% tariffs on China, the latter also retaliated with a 125% tariff on the US. It was after this when Apple started to take out its iPhone manufacturing supply chain from China to protect itself from geopolitical tensions. 

Apple started manufacturing iPhone 15 in India last year, clocking 30 Mn to 40 Mn units annually. Till last year, 25% of Apple manufacturing was happening in India via its contract manufacturers Tata Electronics, Foxconn and Pegatron. 

While the company has tirelessly made efforts to shift its manufacturing out of China, it has not come easy for them. Apple faced hurdles while shifting its manufacturing base out of China. 

For instance, in April Chinese authorities did not allow one of Apple suppliers to export machinery to India which it needed to test the trial production of iPhone 17 in the country. While a couple of months later, Foxconn recalled 300 Chinese engineers who were speculated to play a vital role in testing the new iPhone 17 in India.  

Apple’s Booming Performance In India

Besides ramping up its manufacturing in the region, Apple CEO Tim Cook said during the April-June earnings call that the company has seen double digit growth in India across its sales in iPhone, Macs and services. 

Apart from that, it also plans to expand its retail footprint in the region by opening four new stores in Bengaluru, Mumbai, Pune and Noida later this year. 

Apple saw a 13.4% revenue jump from iPhone sales globally to $44.6 Bn in the June quarter, largely driven by the iPhone 16 family. Besides, the company’s overall revenue for the quarter went up by 10% to $94 Bn.