When Apple makes India its second-largest iPhone manufacturing hub globally, you know the supply chain revolution is real! At GIA, we see this as the ultimate validation of India’s rise as the world’s preferred manufacturing destination.
What is the news?
- Apple has surpassed INR 1 lakh crore in iPhone exports from India, with total shipments reaching a record $12.8 billion (INR 1.08 lakh crore) in 2024, representing a 42% increase from the previous year.
- Foxconn’s new $2.6 billion plant in Bengaluru is expected to employ 50,000 people at full capacity by December 2027, while Tata Electronics has started operations at its Tamil Nadu facility for older iPhone models.
Why is it interesting?
- This represents the perfect storm of global supply chain diversification meeting India’s manufacturing prowess. Apple’s contract manufacturers including Foxconn, Tata Electronics, Dixon, and Pegatron have crossed the 20% domestic value addition mark, with 97% of Foxconn’s Indian production now heading to the US (up from 50.3% in 2024).
- Apple’s deeper India integration goes beyond manufacturing, partnering with Tata Group for iPhone and MacBook repairs, and exploring camera module sourcing with Murugappa Group and Titan. This isn’t just about cost arbitrage; it’s about building a resilient, high-quality supply chain that can serve global markets while creating significant local value addition and employment.
Read more: Apple India’s iPhone Suppliers Cross 20% Domestic Value Addition: Report