Foxconn’s Hyderabad Move: Modi Govt’s Big Win as Apple Shifts AirPods Production to India

Foxconn’s Hyderabad Move: Modi Govt’s Big Win as Apple Shifts AirPods Production to India

In a strategic coup for India’s manufacturing ambitions, Foxconn—Apple’s key global supplier—will begin producing AirPods at its new Hyderabad facility starting April 2025. This marks a significant expansion of Apple’s “China+1” strategy, signaling a major shift in global electronics supply chains and a direct boost to India’s “Make in India” vision.

Key Highlights:

Foxconn’s Hyderabad plant, built with a $400 million investment, will exclusively manufacture AirPods for global export, making India only the second country after China to produce this high-value Apple product.

This move comes as Apple’s iPhone production in India has already surged 60% to $22 billion, with one in five iPhones now made in India—up from near zero just a few years ago.

The Hyderabad facility is Foxconn’s latest expansion beyond its existing bases in Tamil Nadu and Karnataka, and is strategically located near India’s emerging semiconductor and electronics hubs.

Apple’s decision is driven by the need to diversify away from China amid ongoing US-China trade tensions, supply chain disruptions, and new reciprocal tariffs announced by the US.

The Indian government’s proactive policies—such as slashing import duties on key components—have made India an attractive destination for global electronics giants.

AirPods production in Hyderabad will initially be export-focused, but industry experts see this as a precursor to broader local manufacturing and potential domestic sales in the future.

With Apple aiming for India to contribute 25% of its global iPhone output within two years, this Foxconn expansion cements India’s status as a global electronics powerhouse.

Sources: Times of India, India Today, Economic Times