In a move to avoid being a ‘collateral damage’ in the ongoing US/China trade war, Apple is moving a chunk of its China-based manufacturing base to India.
Apple is moving 20% of its China-based manufacturing to India will reduce the US tech giant’s exposure to the potential decline of the Chinese economy.
By this move, Apple’s manufacturing of the flagship iPhone 11 will now be in India boosting Prime Minister Narendra Modi’s ‘Make in India initiative’ launched in 2014.
The primary goal of the initiative is to make India a global manufacturing hub, by encouraging both multinational as well as domestic companies to manufacture their products within the country.
According to a report in The Economic Times, production would be increased in phases. The move is also predicted to bring down the price of made in India iPhone 11 according to industry expert who reckon local production saves 22 per cent import duty for Apple.
The company is also planning to make the new iPhone SE at the Wistron plant near Bengaluru. The plant used to make the earlier iPhone SE too. India already makes iPhone XR at the Foxconn plant and iPhone 7 at the Wistron factory.
Meanwhile, Apple also has plans to expand manufacturing in the country with a$356 million investment to expand its plant in Tamil Nadu.