Apple’s iPhone Assembly Finds New Home in India

Foxconn, the world's largest contract electronics manufacturer, is set to boost its production of iPhones in India. The company plans to increase its Indian production from 12-14% in 2023 to 20-25% in 2024, according to recent reports.

Earlier this week, Foxconn filed a securities notice in Taiwan announcing its intention to build a new plant in India. The plant, which is estimated to cost $1.54 billion, will be located at an undisclosed location in the country, as reported by The Nikkei.

The Taiwanese press has also revealed that the new plant will be primarily used for iPhone production. Additionally, it has been reported that the Indian facility will be utilized for iPhone product development and test production.

Currently, the majority of iPhone assembly is carried out in China, with Foxconn accounting for 60-70% of the assembly process. However, with this new investment in India, Foxconn aims to diversify its production and reduce its reliance on China.

Foxconn has been assembling iPhones in India since 2019 at its Sunguvarchatram facility. However, the Indian operations have been less profitable compared to its Chinese plants due to higher material costs and a higher percentage of defective phones.