Apple has been expanding its supply chain in recent years, and India has emerged as a favored location for manufacturing Apple products. According to reports from earlier this year, Cupertino is planning to move up to 25% of its iPhone production to India by 2025. The latest report from Ming-Chi Kuo suggests that the baseline iPhone 17 production will move solely in India in the second half of 2024, with a release date expected in 2025.
This move is part of Apple’s efforts to diversify its supply chain and reduce its dependence on China, where most of its products are currently manufactured. India offers several advantages, including a large and growing market, a skilled workforce, and lower labor costs. Apple has already started manufacturing some of its products in India, including the iPhone SE and the iPhone XR.
iPhone 17 production in India
It is worth noting that Apple is set to commence production of its iPhone outside of China for the first time. Although China was the favorite market for iPhone parts manufacturing. Several issues appeared at the time of pandemic that significantly impacts the iPhone 14 series delay.
According to Kuo, the baseline iPhone 17 production was chosen over the Pro models due to its lower level of complexity in development, which would help to mitigate risks. The iPhone 17 series is expected to be launched in the Fall of 2025. Apple had previously started assembling iPhones in India in 2017, and Tata Electronics has recently acquired Wistron’s assembly units in India for $125 million.
This move by Apple to shift from iPhone 17 production outside of China is a significant development in the tech industry. It not only diversifies the company’s supply chain but also reduces its reliance on China, which has been a major manufacturing hub for Apple products.
The decision to start production in India is also a strategic move, as the country has been actively promoting itself as a manufacturing destination for tech companies. With the acquisition of Wistron’s assembly units, Tata Electronics is now well-positioned to become a major player in the Indian tech manufacturing industry.