San Francisco: As Apple plans to shift more iPhone production from China to India, it is now reportedly moving production of some iPads to India to keep its supply chain healthy amid Covid-related disruptions. want to do
“Apple has talked to Indian officials about locating some iPad manufacturing in the country because of sour US-China relations and China’s Covid crackdown on supply chains,” a CNBC report quoted sources as saying. “
Apple is planning to shift iPad manufacturing to India as the company looks to shift up to 30 percent of its manufacturing outside China.
The report added that no concrete plans have been made yet, “but if the effort is successful, it will expand Apple’s footprint in the country”.
Apple did not comment on the report.
In India, Apple iPads registered an impressive 34 percent (year-on-year) growth in the second quarter (Q2) in India, according to CMR, and the company sold over 0.2 million devices in the country.
According to CMR Q2 data, the Apple iPad (Gen 9) and iPad Air account for a lion’s share of 2022 iPad shipments.
The tech giant is also rapidly ramping up its manufacturing plans in India and Vietnam in the wake of China’s unrest over its zero-Covid policy, which has severely disrupted its supply chain, causing severe shortages of the new iPhone 14 Pro models. has occurred.
The Wall Street Journal reported last weekend that the company “led by Foxconn to reduce reliance on Taiwanese assemblers” plans to more actively move suppliers to assemble Apple products elsewhere in Asia, particularly India and Vietnam. asking to make.
China’s turmoil, which last month hit its major supplier Foxconn’s Zhengzhou factory resulting in violent protests, means that “Apple no longer feels comfortable tying its business to one place,” reports said, citing analysts and people in Apple’s supply chain.
According to noted analyst Ming-Chi Kuo, Apple aims to ship 40-45 percent of iPhones from India, compared to the single-digit percentage at present.
Kuo predicted that iPhone shipments in the fourth quarter this year are likely to reach about 70 million to 75 million units, about 10 million below market estimates before the China turmoil.
According to JP Morgan, by 2025 every fourth iPhone will be made in India.
Apple first started manufacturing iPhones in India in 2017 with the iPhone SE.
The tech giant manufactures some of its most advanced iPhones in the country, including the iPhone 11, iPhone 12 and iPhone 13 at the Foxconn facility, while the iPhone SE and iPhone 12 are being assembled at the Wistron factory in the country.