Apple’s supply chain is almost entirely made in China, but the company has been looking to diversify to make it more resilient. Those plans were thrown off by the pandemic, but now they are back on track.
According to Reuters, analysts at J.P. Morgan predict that Apple will move 25% of global iPhone production to India by 2025. It stands at around 5% at the moment.
In addition to iPhones, the report claims that around 25% of all Apple products – iPads, Apple Watches, AirPods, and Macs – will be shipped outside of China by 2025 (the current number is around 5%).
Since 2017, Apple has been manufacturing iPhones in India. From the beginning, the SE was made exclusively for the local market. In recent years, it has added new models (such as the iPhone 13) as well as begun exporting iPhones made in India.
Upcoming weeks, Foxconn will begin building the vanilla iPhone 14 in India. In comparison, iPhone 13 production in India only began this month.
With the relocation to India, Taiwanese vendors such as Hon Hai and Pegatron play a key role. A J.P.Morgan analyst led by Gokul Hariharan claims that Apple will also qualify local Indian manufacturing suppliers in the medium to long term.