Apple's iPhone 15 Production Starts in Tamil Nadu

By: Mohit Kumar

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Updated on: 18-Aug-2023

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Introduction: Apple's India Manufacturing Expansion

Apple's ongoing efforts to expand its manufacturing operations outside of China have taken a significant step forward as the next-generation iPhone 15 gears up for production in Tamil Nadu, India. This strategic move aims to bridge the gap between India's manufacturing capabilities and the company's established production base in China.

Foxconn Plant in Sriperumbudur Takes the Lead

The production of the latest iPhone models is set to commence at a Foxconn facility located in Sriperumbudur, Tamil Nadu. Impressively, these devices are anticipated to be rolled out mere weeks after their launch from Chinese factories. This signals Apple's resolute commitment to increasing the output of new iPhones from its Indian manufacturing hub.

Diversification and Risk Mitigation: The Motivation Behind Apple's India Manufacturing Push

With an eye on global supply chain stability, Apple, headquartered in California, has embarked on a multi-year endeavour to diversify its manufacturing beyond China.

The motivation is clear: to reduce the reliance on a single production source and to minimize disruptions caused by unpredictable trade dynamics, particularly amidst escalating tensions between the United States and China.

Concurrently, India is actively fostering stronger ties with the U.S. and positioning itself as a desirable manufacturing destination.

From Lag to Parity: India's Progress in iPhone Assembly

The trajectory of Apple's manufacturing presence in India has been noteworthy. Prior to the iPhone 14, the country contributed only a fraction to iPhone assembly, with a considerable time lag compared to its Chinese counterpart—six to nine months, to be precise. This discrepancy, however, was significantly reduced last year, resulting in India accounting for 7% of iPhone production by March.

The Road Ahead: Striving for Equitable Shipment Timing

In the quest for manufacturing parity, Apple sets its sights on further narrowing the gap between the timing of iPhone shipments from India and China. The objective for this year is to achieve a more synchronized distribution timeline. While suppliers are working diligently towards this goal, uncertainties linger, underscoring the complexities involved in scaling up production.

Production Scale and Factors at Play for iPhone 15

The extent of iPhone 15's production in India hinges on multiple variables. The availability of essential components and the seamless establishment of production lines at the Foxconn plant near Chennai will be decisive factors. As the tech world awaits the anticipated iPhone 15 announcement on September 12, Apple's strategic moves in India's manufacturing landscape take centre stage.

Conclusion:

Apple's decision to kickstart iPhone 15 production in Tamil Nadu reaffirms the company's commitment to diversify its manufacturing operations and foster stronger ties with India. This strategic shift aligns with global trends of de-risking supply chains and underscores India's rising prominence as a manufacturing hub. As the world watches, Apple's India journey enters a crucial phase, with implications reaching far beyond the tech realm.