Motherson Group is poised to join Apple’s supply chain network in India through a partnership with BIEL Crystal Manufactory, a top global supplier of smartphone glass. This move will make Motherson the second major Indian business group, after Tata, to become an Apple vendor. This initiative aligns with Motherson’s strategy to diversify its manufacturing expertise into new sectors.
BIEL Crystal, founded in 1989 by billionaire Yeung Kin-man in Shenzhen, China, initially focused on producing watch crystals. It is now estimated to supply glass screens for about two-thirds of all iPhones. The joint venture, in which Motherson will hold a 51% majority stake, plans to establish a new manufacturing facility in southern India, likely in Tamil Nadu.
The investment for this greenfield project is projected to range between Rs 2,000 crore and Rs 2,500 crore, with expected revenue of Rs 8,000 crore to Rs 8,500 crore within four to five years of operation. The consumer electronics segment is expected to launch between July and September.
BIEL’s production facilities in Guangdong, China, and Bac Ninh and Hai Duong, Vietnam, are recognized vendors for Apple in India. BIEL supplies components for smartphones, tablets, and wearables to major brands including Samsung, Xiaomi, and Lenovo.
In January, Samvardhana Motherson International Ltd (SMIL) announced that its subsidiary, Samvardhana Motherson Innovative Solutions Ltd (SMISL), was entering agreements with BIEL Crystal (Singapore) Private Limited. BIEL was set to invest in Motherson Electronic Components Pvt Ltd (MECPL), a wholly-owned SMISL subsidiary.
BIEL would invest through 0.01% compulsorily convertible preference shares (CCPS), convertible into 10% equity and up to 49% on a fully diluted basis. BIEL would also provide technical support, while SMIL would appoint most directors at MECPL, and BIEL could nominate directors proportional to its shareholding. Any issuance of shares or convertible securities to third parties would require joint consent.
Amid rising geopolitical tensions, Apple has encouraged its suppliers to diversify their production locations to reduce reliance on mainland China. In addition to India, countries like Vietnam, Malaysia, Thailand, and the Philippines are looking to benefit from this strategy. Boosted by an increase in Apple iPhone exports, electronics have become India’s third-largest export by the end of the June quarter, moving up from fourth place the previous year.
The Tata Group alone has invested over $1 billion in new projects and acquisitions to strengthen its partnership with Apple. A senior executive revealed that Corning, the manufacturer of Gorilla Glass and a major Apple supplier, is set to start production at its Tamil Nadu facility in the latter half of 2025.
