“Apple Supplier Foxconn Commences iPhone 15 Production in India, Aims to Bridge Manufacturing Gap with China”

In a significant development, Apple’s manufacturing partner, Foxconn Technology Group, has initiated the production of the much-anticipated iPhone 15 in Tamil Nadu, India. This move highlights Apple’s ongoing efforts to diversify its manufacturing operations and reduce its reliance on China as its primary manufacturing base.

The new iPhone iteration, rumored to be unveiled on September 12, is poised to be the most substantial update to the device in three years. The latest model promises major enhancements, particularly in the camera system across the entire range. Additionally, the Pro models are expected to feature an improved 3-nanometer A16 processor, enhancing overall performance and user experience.

Apple’s push to produce the iPhone 15 in India aligns with its multiyear strategy to mitigate supply chain risks by diversifying manufacturing locations beyond China. The heightened trade tensions between the United States and China have prompted Apple to seek alternative production bases to safeguard its flagship products’ manufacturing processes.

The company’s long-standing goal to balance iPhone shipment timing between India and China is becoming more feasible, with Apple having successfully reduced the lag between the two countries’ manufacturing timelines. While the goal of parity remains the objective for this year’s production, suppliers remain cautious as the availability of imported components and the ramp-up of production lines at the Foxconn factory in Chennai play critical roles.

India’s proactive efforts, led by Prime Minister Narendra Modi, to foster closer ties with the United States and position the nation as a manufacturing hub have made it an attractive destination for Apple’s diversification strategy. Before the iPhone 14, India’s contribution to iPhone assembly was considerably smaller compared to China, resulting in significant delays of six to nine months. However, recent improvements have seen India accounting for 7% of iPhone production as of March.

Foxconn’s Sriperumbudur facility is set to play a pivotal role in increasing the volume of new iPhones originating from India. Pegatron Corp. and a Wistron Corp. factory, soon to be owned by the Tata Group, are also expected to join in assembling the iPhone 15.

As Apple seeks to tap into the growing Indian market, the move to increase local production will likely have a dual impact—enhancing Apple’s retail presence in the region while also reducing manufacturing risks by distributing production across multiple locations. This aligns with Apple’s CEO Tim Cook’s commitment to expand the company’s footprint in India, reinforcing India’s significance in Apple’s global strategy.

The launch of the iPhone 15 in India holds great promise not only for the Indian market but also for Apple’s strategic move to diversify its production and minimize geopolitical risks associated with a concentrated manufacturing base.

Sources By Agencies

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