- Apple (AAPL, $150.77) has confirmed that part of its iPhone 14s will be produced in India as manufacturers move their operations out of China due to geopolitical unrest and economic restrictions that have disrupted supply chains across a wide range of businesses.
- This most recent model will be distributed by Foxconn, a significant iPhone manufacturer with operations outside of Chennai, a city in southern India.
- By the end of this year, Apple is projected to move 5% of the manufacture of the iPhone 14 to India, increasing that percentage to 25% by 2025. Current figures show that about 7 million iPhones were produced by the tech giant in India last year.
Why it matters
India has the second-largest smartphone market in the world, after China, thanks to the government's emphasis on domestic manufacturing. Although Apple launched its online store in India two years ago, plans for a flagship store in India have been put on hold because of the pandemic. Apple's iPhone sales have therefore found it difficult to compete with lower-priced models from Chinese manufacturers.