In what is a major milestone in building a non-China supply base for Apple devices, its impending iPhone 14 will simultaneously ship from factories in China and India right at the launch. Hitherto, iPhones, at the time of their launch, were mostly rolled out the contract manufacturers plant in China.
This is the first time that Apple has chosen to have iPhones coming almost simultaneously from plants in both China and India.
Well-known Apple analyst Ming-Chi Kuo, in a tweet, said: "My latest survey indicates Foxconn's iPhone production site in India will ship the new 6.1" iPhone 14 almost simultaneously with China for the first time in 2H22 (India being one quarter or more behind in the past).
In another tweet, Kuo said "In the short term, India's iPhone capacities/shipments still have a considerable gap with China, but it's an important milestone for Apple in building a non-Chinese iPhone production site."
India and Apple: Manufacturing base & major market
It is clear, and Kuo also suggested this, Apple is trying to cut down on its dependence on China. The reasons for this are many, and not the least being the escalating tension between Washington and Beijing. In fact, Apple has been trying to build India as it second production base. But the two years of Covid, which caused considerable havoc in India, has delayed Apple's plans.
The presence of the Taiwanese contract assembler Foxconn in both China and India may have made things easy for Apple as technology and personnel transfer and exchange could be carried out seamlessly. Foxconn in India has also been expanding its production capacity. It recently received government clearance to increase workforce, which would help the company to amp up its manufacturing numbers. The government has approved Apple's application for denotification of 40 acres inside Foxconn plant near Chennai operating in the special economic zone (SEZ).
Foxconn has invested an additional $350 million in the unit to help build an exclusive production line for Apple iPhone 13. Aside from iPhone 13, the Sriperumbudur plant rolls out iPhone XR, iPhone 11, and iPhone 12 models. Foxconn also has a unit in nearby Andhra Pradesh.
Foxconn, the world’s largest contract electronics maker, is Apple’s most important iPhone assembler, and has plants in many parts of the world, aside from India. Apple accounts for about 40% of the Taiwanese company’s total sales.
For Apple itself, India is a happy hunting ground, as it sold over 1.2 million iPhones in India in the second quarter of this year, registering a massive 94% growth (year-on-year). Nearly 1 million of the total shipped iPhones were 'Make in India' devices.
Meanwhile, media reports claim that the iPhone 14 lineup includes the iPhone 14, iPhone 14 Pro, iPhone 14 Max, and the 6.7-inch iPhone 14 Pro Max. It is also predicted that iPhone 14 will be unveiled in the second week of September.
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