Apple (NASDAQ:AAPL) is set to significantly expand its manufacturing footprint in India by assembling its high-end iPhone 16 Pro and Pro Max models for the first time, according to a report by website Money Control on Friday.
According to the publication, citing sources, the move will come through its partner Foxconn and marks a strategic shift away from over-reliance on China.
India has been gaining prominence as a manufacturing hub for Apple, with the company already producing some iPhone 15 models domestically.
Money Control says the aim is to eventually manufacture a quarter of all iPhones in India within the next few years, with its sources telling them that "every year, Apple seeks to deepen its manufacturing capabilities with partners in India," and that the "production of Pro models is something that has been under consideration for the last couple of years."
To meet the anticipated high demand for the iPhone 16 series, Apple is said to be investing heavily in production, with 90 million units planned for 2024. However, the company faces challenges, including geopolitical tensions and component shortages.
Beyond iPhones, Money Control says Apple also has plans to produce iPads and AirPods in India, further solidifying the country's position in the global tech supply chain.
The Indian government is actively encouraging such investments, offering incentives to attract major manufacturers. The country is said to want Apple to make its entire product range locally in the next few years, including laptops and desktops.
While India offers a growing market and cost advantages, Apple must navigate challenges such as infrastructure and skilled labor to fully capitalize on its potential.