Apple reportedly plans major expansion of iPhone production in India

Apple Inc. is planning a massive expansion of iPhone manufacturing in India, according to multiple reports Thursday.

The Wall Street Journal reported Thursday night that Apple
AAPL,
+1.01%
plans to make more than 50 million iPhones a year with its suppliers in India within the coming years, accounting for about a quarter of the tech giant’s global annual iPhone production.

According to the Journal, a Foxconn
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+0.19%
plant currently under construction in southern India is expected to start operating in April, with the goal of producing 20 million iPhones and other devices a year within the next two to three years. Foxconn is reportedly planning a second, similar-sized facility in India as well.

Separately, Bloomberg News reported Thursday that Indian conglomerate Tata Group plans to build a huge Apple manufacturing plant in India. According to the report, Tata plans for the facility to have 50,000 workers on about 20 assembly lines, with the site becoming operational in the next 12 to 18 months.

Apple’s expansion in India is part of a strategy to diversify its supply chain, which is now dominated by China. Apple has made some of its iPhones in India since 2017, and last year, Apple announced it would make its iPhone 14 devices in India rather than China.

India is also the world’s second-largest smartphone market, after China, but pricey Apple devices have struggled to gain market share there.

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