India now accounts for 14% of Apple's total iPhone production

In a move to diversify its manufacturing footprint beyond China, Apple has remarkably doubled its iPhone production in India, achieving a significant $14 billion output in fiscal 2024.

India now accounts for 14% of Apple's total iPhone production, a significant growth from 7% just last year, signalling a major shift in the tech giant's approach to its global supply chain strategy amidst the challenging geopolitical landscape.

The collaboration with major manufacturers Foxconn and Pegatron has been pivotal in Apple's success in India. Foxconn led the charge by assembling nearly 67% of the India-made iPhones, while Pegatron contributed to 17% of the production. The remaining output came from the Wistron Corp facility in Karnataka, now under the Tata Group.  

Apple's concerted effort to reduce its dependency on China comes at a time of heightened geopolitical tensions between Washington and Beijing. By increasing its manufacturing presence in India, Apple not only strengthens its supply chain resilience but also positions itself in a good position to navigate the complexities of international relations more effectively.  

The strategic expansion into India is also about tapping into new growth avenues. India's growing market represents a "huge opportunity" for Apple, as emphasized by CEO Tim Cook during his engagements with Prime Minister Narendra Modi.

The opening of Apple's first retail stores in India last year showed the company's commitment to capturing a significant consumer base within the country.

Despite facing a 24% drop in iPhone sales in China in the first six weeks of 2024, Apple's forward-looking strategy to ramp up production in India demonstrates its adaptability and strategic foresight.

This move is not only a response to the sales challenges in China but also an affirmation of Apple's ambition to strengthen its global supply chains and seize growth opportunities in emerging markets.