In the past fiscal year, Apple has produced iPhones worth over $7 billion in India, which marks a three-fold increase in production in the country's rapidly growing smartphone market.
This move is a part of Apple's strategy to reduce its reliance on China and expand its presence in other markets.
According to the report, Apple has expanded its partnerships with manufacturers such as Foxconn Technology Group and Pegatron Corp. to achieve this production level.
It is worth noting that India's contribution to the world's total iPhone production was only around 1 per cent in 2021. However, with the current growth rate, Apple now manufactures nearly 7 per cent of its iPhones in India.
Apple faced issues last year when chaos erupted at Foxconn's main facility in Zhengzhou, impacting its supply chain and requiring it to reduce output estimates. Meanwhile, the Narendra Modi government, introduced several incentives aimed at boosting local manufacturing.
Apple produced iPhones worth over $7 billion in India in the past fiscal year, with $5 billion worth of iPhones exported. If Apple's aggressive expansion of its suppliers continues, it could manufacture a quarter of its iPhones in India by 2025.
Apple has been successful in lobbying for incentives in India and has pushed suppliers to ramp up local production. These suppliers employ around 60,000 workers in India and manufacture a range of iPhone models.
The fact that Apple has increased its iPhone production in India is a significant achievement for the country's economy, and it could also impact how other US brands approach their future manufacturing strategies.
For Apple, India represents a potential source of future growth, especially as the Chinese economy has been struggling due to strict Covid-related restrictions over the past few years.
The company is also set to open its first two retail stores in India, with Chief Executive Tim Cook scheduled to inaugurate them personally.
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