"We're excited to be manufacturing iPhone 14 in India."
Production of the iPhone 14 has begun in India as Apple looks to shift supply chains away from China.
The majority of Apple’s phones are made in China but the company has moved some production outside the country as tensions rise between Washington and Beijing.
China’s ‘zero-Covid’ policies, which have triggered widespread lockdowns, have also caused major disruptions for businesses during the pandemic.
Apple unveiled its latest iPhone earlier in September 2022.
In a statement, Apple said: “The new iPhone 14 line-up introduces groundbreaking new technologies and important safety capabilities.
“We’re excited to be manufacturing iPhone 14 in India.”
Taiwan-based Foxconn, which manufactures the majority of Apple’s phones, has had an operation in Tamil Nadu since 2017, where it makes older versions of the handsets.
Now, Apple is betting big by making the iPhone 14 in India.
By betting on India, Apple is looking to increase its footprint in the country.
As of 2021, its market share was approximately four per cent.
Apple has been struggling to compete with the much cheaper South Korean and Chinese smartphones that continue to dominate the Indian smartphone market.
But manufacturing in India does not mean the phones will be cheaper in the country because of high import duties on components and other taxes.
Although Indians might be looking at the ‘Made in India’ tag on their iPhones, they will still have to pay a lot to own one.
The announcement that iPhone production has increased in India is a win for prime minister Narendra Modi’s administration.
His government launched its flagship “Make in India” campaign eight years ago as it aimed to boost the country’s manufacturing and exports.
Apple’s announcement marks its latest move towards diversifying supply chains to avoid disruptions as tensions rise between China and the US over Taiwan and trade.
Earlier in September, analysts at JP Morgan said that they expect Apple to move around five per cent of iPhone production to India in 2022.
The report also predicted that a quarter of all iPhone production will be in India by 2025.
In 2021, Apple supplier Foxconn invested £1.4 billion in Vietnam, according to the country’s government.
In August 2022, Vietnamese state media reported that the company had signed a £280 million agreement to expand its facility in the north of the country to increase production.
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