Apple Said to Be in Discussions With Several Indian Firms to Replace Chinese Suppliers

Apple is reportedly in talks with over 40 Indian firms to set up joint ventures with companies from other countries.

Written by David Delima | Updated: 21 November 2024 14:04 IST

Apple Said to Be in Discussions With Several Indian Firms to Replace Chinese Suppliers

Photo Credit: Reuters

Apple currently produces its entire iPhone 16 lineup in india

Highlights

Apple is looking to expand its supply chain beyond China
It has reportedly approached Indian firms to explore joint ventures
Apple supplier Foxconn and Tata Electronics produce Phone models in India

Apple is holding discussions with several Indian companies as part of the iPhone maker's efforts to build its own supply chain ecosystem in the country, according to a report. Apple heavily relied on Chinese suppliers until 2020, but the firm has since attempted to move production to other regions, including India and Vietnam. The company is reportedly in talks with firms in India to explore the possibility of setting up joint ventures with foreign firms to product components in India.

Apple Looks to Indian Firms to Source Components Due to Delayed Import Approvals

According to a Moneycontrol report citing a source familiar with the company's plans, Apple has held discussions with over 40 Indian electronics manufacturing services (EMS) companies such as Dixon Tech and Amber Enterprises, as well as with international EMS firms. Other firms approached by the company reportedly include HCLTech, Wipro, and Motherson Group.

The source also told the publication that the reason for these discussions was that Apple's Chinese suppliers were reluctant to invest in the country "due to existing cases against other Chinese companies" and visa issues.

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Meanwhile, the report also states that the reason Apple is looking to source more components from firms in India is because government approvals for imports of components like batteries, chargers and other components from Chinese suppliers are currently delayed.

However, producing components in India is expected to be a challenging affair, and Apple is reportedly in talks with the Indian companies to set up joint ventures with firms from countries like Taiwan, Japan, China, and South Korea to manufacture some components in the country.

The company recently recorded its highest-ever quarterly shipments in India, with as many as 4 million units shipped. Meanwhile, its market share rose to 8.6 percent, up from 5.7 percent in Q3 2023. Apple's bestselling phones in the previous quarter were the iPhone 15 and iPhone 13, which were launched in 2023 and 2021, respectively.

A recent Bloomberg report reveals that Apple exported iPhone models produced in India worth nearly $6 billion (roughly Rs. 50,500 crore) in a six-month period, and the company is expected to cross the $10 billion (roughly Rs. 84,100 crore) mark. Apple relies on Foxconn, Pegatron, and Tata Electronics to produce iPhone models in India — Tata recently sealed a deal to acquire Pegatron's plant in Tamil Nadu.

iPhone 15

REVIEW
KEY SPECS
NEWS

Design
Display
Software
Performance
Battery Life
Camera
Value for Money

Good
Big upgrades over the 14
Excellent ergonomics, build quality
Very good all-round performance
Apple ecosystem benefits

Bad
Relatively slow charging
Expensive
Still a 60Hz display

Read detailed Apple iPhone 15 review

Display 6.10-inch

Processor Apple A16 Bionic

Front Camera 12-megapixel

Rear Camera 48-megapixel + 12-megapixel

RAM 6GB

Storage 128GB, 256GB, 512GB

OS iOS 17

Resolution 1179x2556 pixels

More Apple mobiles Apple mobiles price in India

iPhone 13

REVIEW
KEY SPECS
NEWS

Design
Display
Software
Performance
Battery Life
Camera
Value for Money

Good
Great performance
Versatile cameras
Sharp, bright display
Good battery life

Bad
Standard display refresh rate, intrusive notch
Expensive

Read detailed Apple iPhone 13 review

Display 6.10-inch

Processor Apple A15 Bionic

Front Camera 12-megapixel

Rear Camera 12-megapixel + 12-megapixel

Storage 128GB, 256GB, 512GB

OS iOS 15

Resolution 1170x2532 pixels

More Apple mobiles Apple mobiles price in India

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Further reading: Apple, India, Supply Chain, Manufacturing, iPhone, Foxconn

David Delima

Email David Delima

As a writer on technology with Gadgets 360, David Delima is interested in open-source technology, cybersecurity, consumer privacy, and loves to read and write about how the Internet works. David can be contacted via email at DavidD@ndtv.com, on Twitter at @DxDavey, and Mastodon at mstdn.social/@delima. More