iPhone assemblers gain approval for $143 billion India manufacturing plan

Major iPhone assemblers for Apple Inc. were among 16 companies that won approval to manufacture products in India under a plan aimed at attracting investment of more than 10.5 trillion rupees ($143 billion) over the next five years for smartphone production.

The logo of electronics contract manufacturer Foxconn Technology Group, formally known as Hon Hai Precision Industry, is displayed at its headquarters in Taipei. Photo: Agence France-Presse
The logo of electronics contract manufacturer Foxconn Technology Group, formally known as Hon Hai Precision Industry, is displayed at its headquarters in Taipei. Photo: Agence France-Presse

Ragini Saxena and Swansy Afonso for Bloomberg News:

Apple’s primary suppliers — Foxconn Technology Group, Wistron Corp., Pegatron Corp. — and Samsung Electronics Co. were among a list of global firms that were cleared by India’s Ministry of Electronics and Information Technology, according to statement on Tuesday. About 60% of the total production, or 6.5 trillion rupees, is expected to be exported in the next five years, it said.

India is attempting to lure the world’s biggest smartphone brands to make their products locally for global export with its Production Linked Incentive program, which signposts plans to increase manufacturing inducements each year. Following clashes with China along its disputed Himalayan border earlier this year, New Delhi is seeking to woo companies looking to diversify their manufacturing bases away from China, as a growing global trade war and the Covid-19 pandemic have focused minds on the risks to supply chains.

MacDailyNews Take: Spreading iPhone assembly outside China to India and other countries is smart business. Spread those eggs into many baskets, Apple!

[Thanks to MacDailyNews Reader “Fred Mertz” for the heads up.]

16 Comments

  1. One would think it’s racist IF assuming it’s a contrary expectation. If one loves curried food, like I do, it would be a pleasant surprise. You are presuming (prejudicially) it’s a contrary “wonder,” and then, racist.

    To associate a place with its food is one of the wonders of all the different places in the World. Stereotypes can automatically be downcast. How illogical. What do many people think of first when thinking of Italian foods? It’s not one item, but the majority of people would think of a category. Like curry being associated with India, it’s not a bad response…in fact, it relates to the pleasantry of a country.

    1. Well, India does make and assemble phones using Google Andriod, you should replace your current CCP made iPhones for an Indian made Andriod phone.

      This is a big mistake by Apple, even worse than Apple Maps series 1. India will frustrate and harass Apple when they are too established in India, so future problems are on the card. Apple should stay away from India, and Indians should get their Apple goodies like everyone else.

      1. India is a free nation so the “hassle” you refer to is big time benign compared to hassle and Communist China Censorship for years.

        Obviously you have something against the intelligent and talented Indian people…

        1. And obviously you know nothing about the rise of Hindu nationalism and its impact on sectarian violence and increasing authoritarianism. The Indian people are indeed intelligent and talented, but the Indian Government does not provide a foolproo setting for foreign businesses.

  2. Superlative News!!!

    Posts from TxUser and others over the years have been defending Apple and Cook manufacturing in China operating under extreme censorship from the human rights master CCP all for the almighty dollar. And so the modus operandi has always been a cue from Monty Python — “look away, look away.”

    Apple Cook vacillating cheerleaders aside, it’s finally happening and long time coming. Fingers crossed Apple pulls out of CCP China in the next decade or whatever it takes…

    1. As usual, you are rewriting history. I have been saying for years that Apple needs to get out of China as soon as possible. Indeed, I have claimed that Apple was in fact getting out of China as fast as possible. My point has simply been that “as soon as possible” is not the same as “immediately.” Reversing the China situation overnight is like turning a supertanker on a dime. It cannot be done .

      The critics seem to have no grasp of just how big Apple’s assembly operations are. There are four plants in China with over 100,000 employees, one of which has 400,000 employees. There are very few other countries where you could build and staff facilities that size. Even though India has a comparable population to China, it has far fewer with an appropriate education and skills.

      China isn’t a poor Third World country—it has a larger middle class than any other country in the world, including the US. The Chinese economy is the size of Germany, France, the UK, and Italy combined. Our competition with China isn’t a repeat of the Cold War; the civilian economy of the Soviet Union never rivaled the West. India has a gross domestic product only about 20% of China.

      So, we are agreed that the expansion of Apple assembly in India is a good thing, GeoB, but it is not yet remotely a replacement for China.

      1. LIAR!!!

        Rewrite History 1: Called you out often when you said for past two years no country on Earth has the scale and workforce except China. I specifically mentioned India and you snidely mocked and shot it down.

        Rewrite History 2: Called you out in the past couple months and AGAIN you REVERSED course. Never said that, I said it’s just that it would be difficult and take time to move Apple out of China.

        Rewrite History 3: Now you are saying, “Apple needs to get out of China as soon as possible.” I almost dropped to floor in DISBELIEF!

        You obviously shift your positions as Apple shifts position and unfortunately LIE about it repeatedly. You can’t rewrite history…

  3. Leaving one country(China) to another country(india) that has even more human rights issues, religous, sex and environments problems. Plus have to retrain people, adjust the supply chain, ect. What happens when India become a problem and issues start happening, move to Vietnam? or south america, mexico?

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