Apple and Google Look Beyond China-India Could Be the Biggest Winner

Kalpana Kanungo - Mumbai Bureau Aug 24, 2026 1,600 Views

Apple and Google are expanding their manufacturing operations in India as production lines pivot away from China. Driven by government policy support and the new ₹62,500-crore manufacturing scheme, Apple is expected to broaden output beyond iPhones, while Google increases its export-oriented device production in the country.

NEW DELHI — India’s electronics manufacturing sector is poised for a major structural expansion as global technology giants Apple Inc. and Google accelerate their supply chain shifts away from China.

Union Minister for Electronics and Information Technology Ashwini Vaishnaw announced on August 22, 2026, that the government is actively collaborating with Apple to broaden its local manufacturing footprint beyond iPhones. Simultaneously, official projections indicate that India is slated to receive a significant share of Google's export-oriented hardware production meant for international markets.

Expanding Beyond iPhones and China Re-Routing

The strategic pivot comes on the heels of robust growth in India's mobile assembly ecosystem, which has been bolstered by foundational partnerships involving major global manufacturers like Foxconn and the Tata Group. Industry estimates indicate that India is projected to account for approximately 26 percent of global iPhone production.

Building on this momentum, the government's newly notified ₹62,500-crore Mobile Phone Manufacturing Scheme (MPMS)—running from fiscal year 2027 through 2031—aims to transition India from an assembly destination into a comprehensive component and value-addition hub.

According to official government announcements, industry reports, and trade disclosures:

Apple’s Diversified Footprint: Discussions focus on scaling production capacity to incorporate additional Apple hardware categories alongside existing iPhone lines.
Google's Export Strategy: Google is scaling up local production of Pixel smartphones through partners like Dixon Technologies, with prospective plans to route a major share of overseas-bound gadget assembly—including phones, wearables, and accessories—into India.
Domestic Sourcing Incentives: The new MPMS framework provides incentives ranging from 2.25% to 5% on eligible sales, plus an additional 1.5% bonus for local component sourcing.
Export Dominance: Government trade data highlights that smartphones have established themselves as India’s largest individual export product category.

Official Sources Section

Ministry of Electronics and Information Technology (MeitY), India: Official policy notifications, the Mobile Phone Manufacturing Scheme (MPMS) framework, and ministerial briefings.
Press Information Bureau (PIB) India: Government press releases covering industrial growth metrics and electronic export milestones.
Counterpoint Research Global Market Tracking: Industry analysis on worldwide smartphone assembly distribution and supply chain shifts.

Quote Section

According to statements released by Union Electronics and IT Minister Ashwini Vaishnaw regarding the ongoing manufacturing expansion:

"The government is working with Apple to expand its manufacturing operations in India beyond smartphones, while a significant share of Google's production intended for overseas markets is expected to be anchored in India as companies diversify their supply chains."

Why It Matters

For global supply chain resilience, international technology investors, and the domestic engineering sector, the deepening presence of Apple and Google anchors India firmly in the upper tiers of the global technology hardware value chain. Shifting from mere assembly to component localization and export-led manufacturing strengthens trade stability and generates high-tech employment across the country.

Key Facts at a Glance

Key Stakeholders: Apple Inc., Google, and the Ministry of Electronics and Information Technology (MeitY).
New Financial Framework: ₹62,500-crore Mobile Phone Manufacturing Scheme (FY27–FY31).
Core Objective: Expanding beyond final assembly into domestic component manufacturing and export scaling.
Manufacturing Partners: Foxconn, Tata Group, and Dixon Technologies.

FAQ Section

How are Apple and Google expanding their manufacturing presence in India?

Apple is exploring expanding its production footprint beyond iPhones, while Google is shifting a substantial share of its export-focused device manufacturing from China to India.

What is the objective of the new ₹62,500-crore scheme?

The Mobile Phone Manufacturing Scheme (MPMS) aims to boost domestic value addition, encourage local component sourcing, and solidify India's status as a global export hub.

Which manufacturing partners assemble devices for these tech giants in India?

Major contract manufacturers and partners include Foxconn, the Tata Group, and Dixon Technologies.

Where can stakeholders review official policy guidelines on the manufacturing scheme?

Complete regulatory guidelines and scheme notifications are published directly through the MeitY Portal.