Apple goes 'Make in India': Tata to produce iPhones for the global market
Delhi : Within 2.5 years, the Tata Group will begin producing Apple iPhones in India for both local and international markets, declared Rajeev Chandrasekhar, Minister of Electronics and Technology, today. The move is a substantial shift from Apple's prior policy of selling primarily Chinese-made new gadgets to eager buyers worldwide, and it highlights India's expanding production capabilities. This will make the group the first domestic iPhone manufacturer in India.
"@GoI_MeitY stands fully in support in growth of Global Indian Electronics companies that will in turn support global Electronic brands that want to make India their trusted manufacturing and talent partner and to realize PM's goal of making India a global electronics power," Mr Chandrasekhar wrote on X, which used to be Twitter at once. For around $125 million, the consortium has taken over the activities of Wistron Corp, an Apple supplier that made the announcement during a board meeting today. Wistron was also commended by the Union Minister for "building a global supply chain from India with Indian companies at its helm".
India has grown in importance to the iPhone maker's diversification effort thanks to Prime Minister Narendra Modi's financial incentives to support domestic production and Apple's desire to look beyond China amid a Washington-Beijing trade battle.
"PM Modi Ji's visionary PLI scheme has already propelled India into becoming a trusted and major hub for smartphone manufacturing and exports," stated Mr. Chandrasekhar.
With an outlay of ₹ 1.97 lakh crore, the PLI (production-linked incentive) scheme was announced in 2021 for 14 sectors, including large-scale electronic manufacturing, white goods, textiles, medical device, automotive, specialty steel, food products, high-efficiency solar PV modules, advanced chemistry cell battery, drones, and pharmaceutical manufacturing. The scheme's goals are to boost domestic manufacturing, create jobs, and support exports.
In a statement made earlier this year, Union Minister of Commerce and Industry Piyush Goyal stated that Apple intended to make 25% of its worldwide units in India over the course of the next four to five years, with $5 billion (approximately ₹ 41,200 crore) in exports from the nation in 2022.
Approximately a year of talks has culminated in the largest conglomerate in India acquiring the Wistron Corp facility located in Karnataka.
Over the past few years, the 150-year-old company, which offers everything from IT services to salt, has tried to get into the e-commerce and electronics manufacturing industries. The corporation already uses a plant spanning hundreds of acres in Tamil Nadu to manufacture the iPhone chassis, which is the metal frame of the gadget.
