Apple iPhone: iPhone exports from India have increased by one-third in the six months to September, highlighting Apple’s initiative to expand manufacturing in the country and reduce dependence on China. The US company exported nearly $6 billion worth of iPhones made in India, a one-third increase in value terms compared to the previous year. Due to this, annual exports are poised to cross approximately $10 billion in the financial year 2024.
Apple’s business growing in the country
Apple is rapidly expanding its manufacturing network in India, taking advantage of local subsidies, skilled labor and advances in the country’s technological capabilities. India is an important part of the company’s effort to reduce dependence on China, where risks have increased due to rising tensions between Beijing and the US.
Apple’s three suppliers — Taiwan’s Foxconn Technology Group, Pegatron and homegrown Tata Electronics — assemble iPhones in South India. Foxconn’s local unit, located on the outskirts of Chennai, is the largest supplier in India and contributes half of the country’s iPhone exports.
The electronics manufacturing arm of salt-to-software conglomerate Tata Group exported iPhones worth about $1.7 billion from its Karnataka factory between April and September. Tata acquired this unit from Wistron last year, becoming the first Indian assembler to assemble this bestselling Apple product. This dollar figure represents the factory gate price of the devices, not the retail price. However, Apple representatives have not commented on this.
According to Union Trade Ministry data, iPhones form the major part of India’s smartphone exports and the product contributed $2.9 billion as the top export to the US in the first five months of this financial year. Five years ago, when Apple had not expanded manufacturing in India, India’s annual smartphone exports to the US were just $5.2 million.
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