IPHONE ASSEMBLY SHIFTS TO INDIA AS CHINA RELIANCE REMAINS

Apple's iPhone production is increasingly moving toward India, yet its manufacturing operations in China continue to play a significant role, particularly in labour-intensive tasks and temporary staffing models.

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A report highlights that while India is rising as a core assembly hub for Apple, its Chinese factories—especially those run by partner Foxconn—still depend on large numbers of temporary workers and maintain operational practices that have drawn scrutiny. The transition to India forms part of Apple's broader supply-chain diversification strategy, but the shift includes complex labour-, cost- and geopolitics-related dynamics that the company must navigate carefully.

The Indian assembly base has grown rapidly in recent years, driven by Apple's efforts to reduce exposure to China-centric manufacturing risks amid trade tensions, supply-chain interruptions and shifting regulatory landscapes. India’s status as a key assembly location has been reinforced by local incentives, trained workforce growth and capacity expansions by Apple's manufacturing partners. Still, China’s operations remain significant in volume, complexity and production value, meaning the shift is gradual rather than instantaneous.

Operational observers note that China offers deep, mature manufacturing infrastructure, high-volume output, skilled labour, and efficient logistics—all advantages that India is still working to match. The relationships and production flows moving from China toward India must contend with differences in worker training, supply-chain maturity, regulatory conditions and cost competitiveness. In this context, Apple's strategy can be seen as maintaining dual hubs: scaling India’s capacity while sustaining Chinese operations during the transition period.

INDIA'S RAMP-UP AND THE CHINA-INDIA PRODUCTION BALANCE