India to host a quarter of global iPhone production
Apple (AAPL) and its suppliers have decided to move production of 50 million iPhones to India, a figure that would account for a quarter of the company's global output.
12punto
According to a report by The Wall Street Journal citing sources familiar with the matter, a significant portion of the company's perhaps most popular product will now be sourced from India, along with its other components, within two to three years.
If these plans are put into action, India will account for a quarter of global iPhone production, and this share is likely to increase in the coming years. Currently, the largest share of iPhone production belongs to China.
Apple has recently been gradually increasing its presence in India, where doing business is more difficult than in China due to weak infrastructure and restrictive labor regulations.
According to the sources, in addition to Apple, the Taiwan-based parts supplier Foxconn believes that expansion activities in India are generally going well and are creating a solid foundation for further expansion.
Essentially, this move by Apple symbolizes many companies that are shifting their operations and production to Southeast Asia and South Asia due to concerns over excessive reliance on China.