A recent estimate suggested that India will make 45–50% of Apple’s iPhones by 2027, on par with China, which produced 80–85% of iPhones in 2022.
Luke Lin, a research analyst for DigiTimes, predicts that the greatest winners from the shift in the smartphone supply chain away from China would be India and Vietnam.By the end of 2022, according to Lin, India would produce between 10% and 15% of all iPhones, while the country’s actual output to far is less than 5%.
However, Lin predicted that the pace of supply chain migration to India would quicken in the future due to the necessity to diversify risks in light of the uncertainty surrounding China’s pandemic control.
Apple has increased production capacity in India and Vietnam despite the supply chain being threatened by pandemic concerns in China and geopolitical dangers.Apple has accelerated the move of its iPhone and iPad manufacturing to India and Vietnam, respectively.Lin predicted that certain Apple Watches would also be made outside of China.
According to the article, Apple planned to progressively grow manufacturing in India because Indian policy supports local production.According to Lin, “They think it will assist local consumers identify with its brand and help to increase its market share there.”
Additionally, the study noted that starting in 2019, most of Samsung’s cell phone production capacity has been moved from China to Vietnam.Samsung also maintains assembly facilities in South Korea and Indonesia. Lin emphasised that Samsung is growing production there as well in order to gain market share there.
