Apple to increase India production share up to 25% says trade minister

Reuters reports that Indian trade minister, Piyush Goyal said that the tech giant was going to increase its production share in the country up to 25% from the current 5% to 7%.

As part of its diversification effort out of China, Apple is gradually increasing its production capacity in India, along with Vietnam and other regions after facing production issues because of China’s zero COVID policy and political tensions with the U.S.

Only a couple of months after its launch out of China, Apple began production of the iPhone 14 and iPhone 14 Plus from India for the first time.

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India might become Apple’s key manufacturing destination

Recently, JP Morgan analysts estimated that a quarter of iPhone production would be shifted to India by 2025 starting with moving 5% of iPhone reproduction later this year, specifically iPhone 14 models. And Bloomberg also reported that almost 50% of iPhones could be manufactured in India by 2027 to reduce dependency on China.

Now, an official statement from a government official substantiates previous claims. Promoting India as a competitive manufacturing destination at a conference earlier this week, Goyal said:

“Apple, another success story. They are already at about 5-7% of their manufacturing in India. If I am not mistaken, they are targeting to go up to 25% of their manufacturing. They launched the most recent models from India, manufactured in India.”

However, he did not mention when the tech giant plans to hit that target production share. 

Reportedly, the tech giant has begun hiring for its first 12 retail locations in India which are scheduled to open this year. The company has already told its suppliers to move AirPods and Beats headphones production to India and also intends to move iPad production to India.

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Addicted to social media and in love with iPhone, started blogging as a hobby. And now it's my passion for every day is a new learning experience. Hopefully, manufacturers will continue to use innovative solutions and we will keep on letting you know about them.