For the first time, India has begun exporting electronic components to China and Vietnam for manufacturing Apple products like MacBooks, AirPods, Watches, Pencils, and iPhones. This marks a significant shift in the global supply chain and highlights Apple’s commitment to diversifying its production network beyond China.
Apple’s Expanding Manufacturing Ecosystem in India
Several Indian manufacturers, including Motherson Group, Jabil, Aequs, and Tata Electronics, are producing key mechanical components such as enclosures for Apple products. These components are then exported to China and Vietnam, where the final assembly of Apple devices takes place. This initiative is part of Apple’s broader strategy to increase domestic value addition and build a robust electronics ecosystem in India.
The Rise of India as a Manufacturing Alternative
For decades, India has been a net importer of electronic components, relying heavily on China and Vietnam. However, with Apple investing in local production, India is on track to become a major global supplier of electronic components. Experts believe this could help India achieve its $35-40 billion component export target by 2030.
Government’s Support and Future Potential
To further boost this growth, the Indian government is preparing a $3 billion production-linked incentive (PLI) scheme to support local component manufacturers. This will encourage more companies to set up manufacturing facilities and reduce dependence on imports.
Apple’s Expanding Supplier Base in India
Apple has been steadily increasing its supplier base in India over the last few years. Key developments include:
- Jabil (Pune): Producing mechanics for AirPods
- Aequs (Hubbali, Karnataka): Manufacturing components for MacBooks
- Tata Electronics: Apple’s first Indian supplier, now exporting enclosures for iPhones to China
- Motherson Group: Recently joined as a supplier for iPhone enclosures
Future of Apple Manufacturing in India
While India currently assembles only iPhones, it will soon start producing AirPods locally. The export of Apple components to China and Vietnam is just the beginning of India’s growing role in global electronics manufacturing. As Apple deepens its supply chain in India, more high-value components could be produced domestically, further strengthening the Make in India initiative.
