Apple has long relied on huge manufacturing facilities in China to manufacture most of its products. Apple is working with its suppliers to slowly move production from China to other countries. This measure aims to reduce the amount of production in China, which is subject to many interruptions due to government policies.
Apple has also confirmed that the latest iPhone 14 will be produced at the Foxconn factory near Chennai, India. This is the first time the company has produced its latest iPhone model in India just weeks after its release. This shows that the company wants to spread production.
According to recent estimates, more than 95% of all iPhones are still made in China, with most coming from a single Foxconn manufacturing facility in Zhengzhou. As the world’s largest iPhone factory, Foxconn’s Zhengzhou site recently made headlines after COVID-19-related lockdowns impacted Foxconn’s production.
With over 200,000 people working at this factory alone, any disruption to smooth operation would almost certainly lead to a shortage of supplies. However, there is increasing evidence that such a supply shortage already exists. Apple recently released a statement confirming that COVID-19 measures in China have affected production of the iPhone 14 Pro and iPhone 14 Pro Max models. While the true extent of these disruptions has yet to be determined, Apple has indicated that customers will experience longer wait times for the iPhone 14 Pro and iPhone 14 Pro Max.
Although Apple does not have an immediate solution to this problem, the company is working to ensure that it does not face such a crisis in the future.
By 2025, 25% of iPhones will be made in India
Now a new report from Reuters reveals that Apple’s supplier, Foxconn plans to quadruple the workforce at its iPhone factory in India over the next two years. Two officials with knowledge of the matter were sources for the post and said it was an adjustment to production as it is being disrupted in China.
Foxconn now plans to increase the number of employees at the Chennai plant to 70,000 adding an additional 53,000 employees over the next two years. According to the first government source, Foxconn has told officials in Tamil Nadu about its plans to accelerate recruitment efforts at the Indian plant due to the disruptions in China.
The manufacturing facility will also produce goods for other tech companies, but this move to expand the workforce was primarily to meet the growing demand for iPhones. India’s other government source, a senior Tamil Nadu government official, said the state government was working with Foxconn to “finalize” the expansion.
This seems very good news and will create more employment opportunities in Tamilnadu. We’ll have to wait and see how the report progresses before it becomes reality.