iPhone 17 manufacturing increased at five Indian production facilities by Apple
The tech giant Apple is set to make a significant move with the launch of its iPhone 17 series. For the first time, the entire production of the iPhone 17 series will be carried out on the Indian subcontinent.
This shift in production is not isolated, as Apple has expanded its manufacturing base beyond the original hub in China. The iPhone 17 series, which is already slated for assembly in India, is contributing to this shift.
In July 2021, market research firm Canalys reported this shift in smartphone exports from China to India. This move was further confirmed by a report from Bloomberg. The expansion aims to reduce dependence on China as a manufacturing hub.
The production of the iPhone 17 series includes factories managed by Foxconn, a manufacturing company, near Bangalore International Airport. In addition, new factories of the Indian conglomerate Tata Group in Tamil Nadu are part of this production expansion.
The expansion of the iPhone 17 production in India is expected to solidify Tata Group's role as a significant Apple partner. By 2027, Tata plants are projected to account for up to 50% of the total iPhone production in India, reflecting Tata's strengthened role as a key Apple partner in the region.
The value of iPhone exports from India from April to July 2021 was $7.5 billion. In July 2021, India surpassed China as the dominant exporter of smartphones to the USA. By 2024, the total value of iPhone exports from India reached $17 billion.
Apple CEO Tim Cook has promised a $600 billion investment in the United States. However, as of now, no duties are paid on electronics imports from India, as this category is still exempt.
The September launch of the iPhone 17 series will involve models entirely assembled in India. All four iPhone 17 models will be produced in India for their September launch.
This shift in production is occurring during a time when Apple is managing the consequences of U.S. government's trade tariffs. The expansion of iPhone production in India is expected to provide Apple with a more diversified manufacturing base, potentially reducing its exposure to trade tensions.
In conclusion, the iPhone 17 series production expansion marks a significant shift in Apple's manufacturing strategy, with the entire production of the iPhone 17 series being carried out in India. This move is expected to solidify India's position as a key player in the global smartphone market and further strengthen the relationship between Apple and its Indian partners.