The sharp increase in exports is driven by Apple’s growing manufacturing base in India, strengthened by supportive government subsidies, a highly skilled workforce, and advancing technological infrastructure.
India’s iPhone Exports Jump 33% as Apple Shifts Away from China
India’s iPhone exports have surged by 33% to nearly $6 billion in the six months leading up to September 2024, as Apple accelerates its efforts to diversify away from China. According to Bloomberg, this growth positions Apple to surpass its $10 billion export target from India by the end of fiscal 2024.
The expansion of Apple’s manufacturing network in India is fueled by favorable government incentives, a skilled workforce, and an improving tech infrastructure. Key suppliers, including Foxconn, Pegatron, and Tata Electronics, are instrumental in this growth. Notably, Foxconn’s facility in Chennai accounts for almost half of all iPhone exports from India, establishing itself as a significant production hub. Tata Electronics, following its acquisition of Wistron’s Karnataka factory, contributed about $1.7 billion in exports between April and September alone.
This shift signifies more than just supply chain diversification—it marks India’s growing role in the global tech economy. Apple’s commitment to manufacturing in India has intensified, with the production of high-end models like the iPhone 15 Pro now taking place locally. The recent opening of Apple stores in Mumbai and New Delhi has also driven the company’s record-breaking $8 billion revenue in India as of March.
India’s expanding role in Apple’s production strategy illustrates a calculated move to mitigate risks associated with dependence on China, especially amidst ongoing geopolitical tensions. While China remains central to Apple’s manufacturing, India’s contributions highlight a balanced approach to supply chain stability.
What Does This Mean for Indian Consumers?
For Indian consumers, this shift may mean a more consistent supply of iPhones and potentially faster delivery times. Additionally, the expanded manufacturing footprint creates thousands of local jobs and supports the Indian economy. With Apple’s continued investment, India is poised to play an increasingly critical role in the company’s global strategy, underscoring the transformative impact of global tech on domestic markets.
