Apple might soon begin manufacturing iPads in India. This move follows India’s production-linked incentive (PLI) scheme and previous unsuccessful attempts to partner with China’s BYD due to political tensions.
A senior government official mentioned, “BYD was almost ready to set up an iPad factory in India, but clearance issues arose. Now, we are helping Apple expand over the next two to three years, expecting substantial growth.”
The Indian government is also encouraging Apple to manufacture laptops and desktops in the country, with big plans over the next few years. Apple has already ramped up iPhone production in India and aims to increase manufacturing of wireless charging cases for AirPods, which are currently exported to China and Vietnam. Apple is looking to partner with Jabil Inc. in Pune or Foxconn for this production boost. Additionally, there are plans to start producing true wireless stereo (TWS) AirPods from next year.
In May, it was reported that Apple aims to manufacture a quarter of all its iPhones in India within the next three to four years. The company is building a network of local vendors to reduce reliance on Chinese suppliers. Foxconn and Tata Electronics will play significant roles in this expansion.
“India is an important market for Apple. By December 2023, they were already doing 14% of their total iPhone production in India, supplying both locally and for exports. They plan to increase this to 24-25% by 2027 or 2028,” an anonymous source revealed.
In 2022, India exported 20% of its domestically made smartphones, the highest ever, according to Counterpoint Research. The PLI scheme and other policies aim to make India a global manufacturing and export hub.
