Apple's India Play: Tim Cook Nods, Trump Scoffs, Foxconn Builds

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Apple has reaffirmed its commitment to expanding its supply chain in India, despite former U.S. President Donald Trump’s recent remarks discouraging the company from increasing production in the country. The tech giant’s suppliers, including Foxconn, are proceeding with major investments, reinforcing India’s growing role in global electronics manufacturing.

Investment Plans in India
- Foxconn has announced a $1.5 billion investment in a display module plant in Tamil Nadu, strengthening Apple’s production capabilities in the region.
- The Taiwanese manufacturer is also investing $2.56 billion in its Devanahalli plant in Karnataka, further expanding its footprint in India.
- Apple currently produces 15 percent of its iPhones in India, with plans to increase this share significantly in the coming years.

Trump’s Opposition and Apple’s Response
- Trump recently stated that he had advised Apple CEO Tim Cook against expanding production in India, citing high tariffs and trade concerns.
- Despite these remarks, Apple executives assured Indian officials that their investment plans remain unchanged.
- The company views India as a key market for diversifying its supply chain away from China, mitigating risks associated with global trade tensions.

Impact on India’s Manufacturing Sector
- Apple’s expansion is expected to boost India’s electronics manufacturing industry, creating thousands of jobs across various supplier networks.
- The Indian government has welcomed Apple’s continued investment, aligning with its ‘Make in India’ initiative to strengthen local production.
- Foxconn’s new facilities will not only support iPhone assembly but also expand production to other Apple products, including AirPods.

Future Outlook
- Apple aims to manufacture a majority of iPhones sold in the U.S. from Indian facilities by 2026, further solidifying India’s role in its global strategy.
- The company’s long-term vision includes increasing local content in India-made iPhones to 25 percent by 2028.
- Industry analysts expect Apple’s continued investment to accelerate India’s emergence as a major electronics manufacturing hub.

Sources: Outlook India, Indian Express, Fortune India, TechStory, Silicon India