What you need to know
- Some iPhone 11 models are now made in India.
- The news comes as Apple continues to diversify its supply chain.
- Indian-made models have already reached stores, and Apple may even be planning to consider exporting it beyond India.
A report suggests that Apple now manufacturers some iPhone 11 models in India, a further sign of Apple's attempts to diversify its supply chain.
The Economic Times reports:
Apple has started making its flagship iPhone 11 at the Foxconn plant near Chennai, the first time it's manufactured a top-of-the-line model in the country, marking a boost for the government's Make in India initiative.
The report says that Apple plans to step up production of the iPhone 11 in phases in the country, but that down the line, Apple may even consider exporting the India-made iPhone 11 to other countries.
Apple has pushed its manufacturing in the country very strongly in 2020 for a couple of reasons. COVID-19 highlighted just how reliant Apple's supply chain was on China and East Asia for its products, revealing a strong need to diversify. Furthermore, goods not made in India are subject to very heavy import taxes. By making the iPhones it sells in India in that country, Apple saves around 22% on import duties. Not only that, the Indian government is offering enticing incentives to phone makers and manufacturers to onshore their business in India, paying companies as much as 6% in bonuses.
The iPhone 11 is reportedly being made at a Foxconn plant in Chennai, and marks the first time a "flagship" iPhone has been made in the country. Until now, Foxconn has only manufactured Apple's iPhone XR in the country, and the iPhone 7 at a Wistron factory.
As the report notes, Apple may also be planning to make the iPhone SE at a Wistron plant near Bengaluru, a plant that previously made the original iPhone SE.
