Apple is aggressively pushing to diversify its production lined for the iPhone, iPad, and others from China. The company already manufactures some iPhone models in India but there are reports that Apple is looking at moving some of its production to India.
A report by Reuters says the US company is lobbying the Indian government to reach a fair deal that could see the iPads get manufactured in India for the first time. The report indicated that the Indian government was planning to roll out an incentive program that aimed at boosting the country’s computer export and that is something Aple is interest in. However, the Cupertino-based company is reportedly looking to negotiate a better deal.
According to Reuters, Apple is expected to dole out an initial budgetary sum of up to Rs. 70 billion ($964 million) over five years. The company is reportedly asking for that to be almost tripled to Rs. 200 billion. This is partly due to concerns that the Indian supply chain lacks the required capacityto meet up Apple’s demand.
As stated earlier, Apple already manufactures some iPhone models in India since 2018, in reaction to a government policy that imposes high tariffs on imported phones and other products. This is part of the “Make in India” initiative which is designed to grow local content. Also, Apple is increasing lookig to move its entire production out of China. A report by Asian Nikkei indicated that the US company was planning to move some iPad production to Vietnam this year. It was noted that this would be the first time such would be happening anywhere else.
Reuters quotes persons familiar with the matter to have disclosed that there is a strong possibility that iPads assembly will shift to India “as early as this year” and one of Apple’s present contractors will handle the assembly. As the moment, Apple has contractual agreements with Foxconn, Pegatron and Wistron in India. We doubt if Wistron would be responsible for that considering the dust generated by its work conditions recently which necessitated an investigation by Apple
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