Foxconn, Apple’s contract manufacturer, has begun importing parts from China to India for the upcoming iPhone 17. According to customs data reviewed by The Economic Times, components such as display assemblies, cover glass, mechanical housings, and rear camera modules started arriving last month. Industry experts believe these early shipments are likely for trial production, as the volumes are much lower than those for previous models.
Trial Run in July, Mass Production by August
The imported iPhone 17 components made up about 10% of Foxconn’s total imports from China in June. Most of the remaining parts were meant for the iPhone 14 and iPhone 16 models, which Apple plans to focus on during India’s festive sales season. Experts suggest that trial production of the iPhone 17 will begin this month, with full-scale manufacturing expected to start in August. The official launch of the iPhone 17 is expected in September.
India-China Parallel Manufacturing Strategy
Apple plans to manufacture the iPhone 17 in both India and China from day one. This marks a significant step in Apple’s effort to make India a key production and export hub, especially for iPhones headed to the United States. This shift is influenced by high tariffs imposed by the US on Chinese goods during the Trump administration.
Growing Role of India in Apple’s Supply Chain
India has rapidly increased its role in Apple’s global production network. iPhone exports from India to the US rose by 219% year-on-year in March, as reported by S&P Global Market Intelligence. Apple’s goal is to shift all sourcing for US-bound iPhones from China to India by 2026, despite pressure from the US government to move manufacturing within America.
Narrowing Production Gap with China
Apple has steadily reduced the time lag between Chinese and Indian production. While iPhone 14 assembly in India started six weeks after China, the iPhone 15 was assembled almost simultaneously in both countries. By 2024, India had joined the New Product Introduction (NPI) process for the base models of iPhone 16, a process previously exclusive to China. Apple aims to continue this trend with the iPhone 17.
Challenges Due to Skilled Worker Shortage
However, mass production in India may face hurdles. A shortage of skilled Chinese engineers, who have been crucial in setting up Foxconn’s India facilities, is a concern. China has reportedly tightened restrictions on knowledge transfer to rival manufacturing hubs. Experts say iPhone 17 production involves complex precision work, where even a 1 mm error can cause a product to fail quality checks. Chinese engineers are essential for training Indian workers on intricate processes and custom moulds.
Apple’s Next Big Manufacturing Step in India
Despite the challenges, Apple’s plan for simultaneous production of the iPhone 17 in India reflects its broader strategy to localize manufacturing and reduce dependence on China. The project also underscores India’s growing importance in the global tech manufacturing landscape.
