New Delhi, May 29, 2025 — In a strategic move that underscores India’s rising prominence in global manufacturing, tech giant Apple Inc. has significantly expanded its supply chain operations across the country. This expansion comes as part of Apple’s broader efforts to diversify its production base beyond China and strengthen its presence in one of the world’s fastest-growing smartphone markets.
This strategic move is likely to strengthen India’s electronics manufacturing sector, create substantial employment opportunities, and solidify the country’s position as a vital hub in the international technology supply chain.
Apple’s Growing Footprint in India
Over the last few years, Apple has consistently ramped up its investments in India, reinforcing its commitment to the country’s growing role in its global operations. With the latest expansion, the company is not only deepening its collaboration with contract manufacturers like Foxconn, Pegatron, and Wistron (now acquired by Tata Group), but is also onboarding new suppliers and ramping up production facilities in states like Tamil Nadu, Karnataka, and Andhra Pradesh.
According to industry sources, Apple’s manufacturing partners have committed to scaling up operations, focusing on assembling a wider range of devices including iPhones, iPads, and accessories, while also sourcing key components locally.
A Strategic Shift Amid Global Realignments
The decision to expand in India is part of Apple’s global supply chain rebalancing strategy.Rising geopolitical uncertainties, global trade disruptions, and the aftermath of the COVID-19 pandemic have highlighted the risks associated with relying heavily on a China-focused manufacturing approach. In response, Apple has sought to de-risk its supply chain by expanding in alternative markets—and India has emerged as a top choice.
India offers a competitive advantage with its large, skilled labor force, supportive government policies, and growing digital infrastructure. Additionally, Apple’s growth strategy is well-aligned with the Indian government’s Production-Linked Incentive (PLI) program, which promotes large-scale, value-added electronics manufacturing through financial incentives.
Economic Impact and Job Creation
Apple’s expanded supply chain operations are expected to have a substantial impact on India’s economy. The initiative is likely to create thousands of new jobs, both directly in assembly lines and indirectly in logistics, quality control, packaging, and local component manufacturing.
In fact, Foxconn’s facility in Sriperumbudur, Tamil Nadu, has already begun hiring at a rapid pace, aiming to double its workforce to support increased production volumes. Similar hiring surges are being reported at Pegatron’s factory near Chennai and Tata’s recently acquired Wistron unit in Karnataka.
Boosting Local Sourcing and Component Manufacturing
One of the notable outcomes of Apple’s expansion is the growing emphasis on local component sourcing. Apple is working with Indian suppliers to source parts like chargers, batteries, metal casings, and packaging materials domestically. This move not only reduces dependency on imports but also strengthens India’s electronics component ecosystem.
Experts believe that the development of a robust supply network around Apple’s operations will attract more foreign direct investment (FDI) into India’s electronics sector and elevate India’s position as a global tech manufacturing hub.
Strengthening Apple’s Market Position in India
India is not only a production base for Apple—it is also a critical consumer market. India offers a significant growth potential for Apple, driven by higher disposable incomes, expanding smartphone adoption, and a surging demand for high-end electronic devices.
By expanding local production, Apple aims to make its devices more price-competitive in the Indian market. Locally manufactured iPhones are already exempt from certain import duties, making them more accessible to Indian consumers. The company has also been expanding its retail footprint, recently opening flagship Apple Stores in Mumbai and Delhi.
Looking Ahead: India as a Global Tech Manufacturing Hub
Apple’s continuous investments reflect strong confidence in India’s manufacturing strengths and supportive policy environment. Analysts predict that India could account for 25% of all iPhone production within the next few years, significantly up from the current estimate of around 12-15%.
If the trend continues, India could soon become Apple’s second-largest production base globally, next only to China. More importantly, Apple’s success story may inspire other global tech giants to follow suit, reinforcing India’s ambition to become a global manufacturing powerhouse.
Conclusion
Apple’s decision to expand its supply chain in India marks a pivotal moment for the country’s tech manufacturing sector. With robust policy support, a skilled workforce, and a thriving consumer base, India is poised to become a critical node in the global electronics value chain. As Apple deepens its roots, it not only transforms its own business model but also helps shape the future of “Make in India.”
