Has Apple Increased Production in India as Foxconn Kicks Off iPhone 17 Manufacturing in Bengaluru?

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Has Apple Increased Production in India as Foxconn Kicks Off iPhone 17 Manufacturing in Bengaluru?

Synopsis

Apple has ramped up production in India as Foxconn kicks off iPhone 17 manufacturing at its new Bengaluru facility. With a staggering $2.8 billion investment, Foxconn aims to enhance production capacity, emphasizing India's growing importance in Apple's global supply chain.

Key Takeaways

  • Foxconn has begun iPhone 17 production at its Bengaluru facility.
  • The investment for the factory is approximately $2.8 billion.
  • Apple's production in India is expected to reach 60 million units this year.
  • India's role in Apple’s global supply chain is becoming increasingly significant.
  • Foxconn's Bengaluru factory aims to diversify production away from China.

New Delhi, Aug 17 (IANS) - Taiwanese electronics giant Foxconn, a pivotal supplier for Apple, has officially commenced the production of the iPhone 17 at its newly established factory in Bengaluru.

This development signifies a major achievement for the facility, which stands as Foxconn's second-largest iPhone manufacturing site outside of China, established with an investment of approximately $2.8 billion (around Rs 25,000 crore).

The Bengaluru plant, located in Devanahalli, is now operational alongside Foxconn’s Chennai facility, where production of the iPhone 17 is also taking place, according to sources closely monitoring the situation.

This follows the local manufacturing of the iPhone 16 series during the same period last year, ahead of its official global and Indian launch.

However, both Apple and Foxconn have not yet provided official statements regarding this development.

The new facility encountered a minor setback earlier this year when several Chinese engineers departed unexpectedly, but Foxconn has since recruited experts from Taiwan and other regions to fill the gaps.

Apple is making significant investments in India as a manufacturing hub, with plans to increase iPhone production to 60 million units this year, compared to 35–40 million units projected for the 2024–25 period.

In the year ending March 31, 2025, Apple assembled 60 percent more iPhones in India, valued at an estimated $22 billion.

Apple CEO Tim Cook recently emphasized the increasing significance of India within the company’s global supply chain.

After announcing the financial results on July 31, he disclosed that a majority of iPhones sold in the US in June 2025 were manufactured in India.

During the second-quarter earnings call, Cook affirmed that all iPhones sold in the US during the June quarter were dispatched from India.

An analysis by S&P Global indicated that iPhone sales in the US reached 75.9 million units in 2024. With March 2025 exports from India at 3.1 million units, Apple will need to double shipments via enhanced capacity or redirect more devices intended for the domestic market to satisfy this demand.

Meanwhile, Apple's position in India's smartphone sector continues to strengthen. Shipments rose by 21.5 percent annually to 5.9 million units in the first half of 2025, with the iPhone 16 becoming the most shipped model.

In the June quarter alone, Apple's shipments in India increased nearly 20 percent year-on-year (YoY), yielding a 7.5 percent market share.

However, the overall Indian smartphone market remains dominated by Chinese brands, with Vivo leading at 19 percent share during the same quarter, as reported by IDC.

The opening of the Bengaluru factory is viewed as a crucial step in Apple's strategy to diversify its production base from China and bolster India's role as a global manufacturing hub.

Point of View

The establishment of Foxconn's production facility in Bengaluru signifies India's growing stature as a manufacturing hub for global technology giants, especially Apple. This move not only bolsters local employment but also strengthens the economy by enhancing India's position in the global supply chain.
NationPress
20/08/2025

Frequently Asked Questions

What is the significance of Foxconn's new factory in Bengaluru?
Foxconn's Bengaluru factory represents a major investment in India's manufacturing capabilities, marking it as the second-largest iPhone manufacturing unit outside China. It reinforces India's strategic importance in Apple's global supply chain.
How many iPhones does Apple plan to produce in India this year?
Apple aims to ramp up its iPhone production in India to 60 million units this year, a significant increase from previous years.
What challenges did the Bengaluru factory face during setup?
The factory faced challenges, including the abrupt departure of several Chinese engineers, but has since recruited experts from Taiwan and other regions to fill these gaps.
What percentage of iPhones sold in the US were made in India?
According to Apple CEO Tim Cook, a majority of iPhones sold in the US in June 2025 were manufactured in India.
What is the outlook for Apple's market share in India?
Apple's market share in India continues to grow, with shipments rising nearly 20 percent year-on-year, reflecting increased consumer interest and sales.