India rubs its hands over Apple’s latest decision. The company led by Tim Cook is asking its suppliers to move the production of AirPods and Beats products to India with the aim of reducing its dependence on China.
In this way, as NikkeiAsia points out, the Cupertino company will take another step to reduce the risk of interruptions in the supply chain of its products. These kinds of problems have already occurred recently as a result of China’s strict anti-coronavirus policy. In addition, geopolitical tensions between the United States and the Asian giant have increased after US shows of solidarity with Taiwan.
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According to sources from the specialized portal, Foxconn, the iPhone assembler, is one of the companies that has been instructed to increase its production in the Indian country by 2023. Luxshare Precision Industry and its subsidiaries, which already produce AirPods in Vietnam and China also plans to help Apple produce the popular earphones in India, though it won’t be immediately and will continue to focus on the Vietnamese production chain.
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In this way, India would join Vietnam as Apple’s Asian alternatives to China. Already in 2019, the Cupertino company gave the green light to start manufacturing AirPods in Vietnam.
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India, a country with a lot of potential
This is another interesting move by Apple to expand in India, a country that is home to 1.38 billion people. In this sense, it has recently been announced that 25% of the iPhone 14, the new generation of Apple’s flagship phone, will also bear the Made in India seal. Previously older models were already manufactured in the Indian country.
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Why India? As IDC technology analyst Joey Yen points out to NikkeiAsia, the Indian country is a great alternative for the production of electronic products far from China. According to the specialist, India “has a potential similar to that of China to become a very significant player in the global supply chain” since it has “young engineering talents and a large workforce, and a huge domestic market as a base”. “.