According to the latest buzz in the business world, Apple will be moving 25% of its entire iPhone production line to India by 2025. It is an effort to diversify its supply chain which remains concentrated in China for now.
As per JP Morgan analysts, Apple produces some iPhone models in India including the iPhone 13 and iPhone 14 in the coming days. Though China has been its production base till recently, the company has made focused efforts to move suppliers and production lines elsewhere.
JP Morgan analysts say by late 2022, 5% of iPhone production will be moved to India, though the actual shift might take another three years. Also, by 2025, Apple intends to move 25% of its production line outside China to India which includes Airpods, Mac, Apple Watch, and iPad.
Apple’s suppliers like Foxconn have already invested heavily in India by developing supply chain infrastructure, factories, and training for some years now. It is being said that Apple will start production of the iPhone 14 in India in a few weeks, though the company’s high secrecy policy is keeping things under wrap.
Meanwhile, Vietnam will contribute 20% of all iPad and Apple Watch productions, 5% of MacBook, and 65% of Airpods by 2025. Huge human resources and ample labor coupled with competitive costs have made India a desirable destination, according to industry analysts.