Apple contract manufacturer Foxconn has successfully resolved an issue that was stopping its component shipments from China being imported to India, amid tensions between the two nations.
Customs officials were holding shipments from China following violent incidents at the Himalayan border, which is shared by China and India. This was reportedly causing problems for Foxconn, which carries out iPhone manufacturing (among other things) in both countries.
Apple is looking to ramp up its investment in India, shifting close to a fifth of its current production capacity from China to Indian manufacturers, according to a Monday report from the Economic Times.
“We expect Apple to produce up to $40 billion worth of smartphones, mostly for exports through its contract manufacturers Wistron and Foxconn,” a senior government official told the publication.
iPhone achieved 78 percent growth in India’s fast-growing smartphone market year-on-year for the first quarter of 2020, new figures from Counterpoint Research suggest.
While Apple is still a tiny fraction of the Indian smartphone market, that makes the iPhone the third fastest-growing brand in the country, following Realme and Oppo. There’s still a long way to go before it can threaten the top-selling likes of Xiaomi, Vivo, and Samsung, however.
iPhone assemblers in India have been forced to suspect production due to a country-wide COVID-19 lockdown, according to a report published on Wednesday.
Facilities owned by Foxconn and Wistron are out of action for now. Production won’t resume until Prime Minister Narendra Modi’s government lifts new lockdown measures.
Apple has raised the price of several iPhone models — including the top-tier iPhone 11 Pro and Pro Max — yet again in India, risking denting sales in the country that were just starting to take off.
The price hike is just under 2%, making it smaller than the sizable iPhone price increase Apple introduced in India in 2018. It follows increased import duties announced during India’s Union Budget 2020.
Apple hosted shareholders for an annual meeting Wednesday, and it was seemingly business as usual. CEO Tim Cook said the company will open its first Apple Store in India this year. He explained why Apple’s streaming service passed on a Friends reunion. He defended Apple’s role in FBI investigations when asked to retrieve iPhone data.
But the tech giant finds itself at an unusual moment in its history with a deadly coronavirus in China that halted business travel, crippled manufacturing, closed all 42 Apple Stores in the country and forced Cupertino to pull back on its March-quarter revenue protections.
Apple captured a record 75.6% chunk of the premium smartphone market in India, a report by International Data Corporation (IDC) claims.
That market segment covers handsets $500 and above. That’s undoubtedly impressive, although it’s still a fraction of the overall market in a country where the average phone price is $159 and the average annual income is $1,892.
Apple is moving some more of its iPhone production to India, as China continues to grapple with the spread of coronavirus.
Renowned Apple analyst Ming-Chi Kuo has some details as to how coronavirus is impacting on Apple factories in China.
Apple was reportedly the fastest growing premium smartphone brand in India last year — with a massive 41% growth year-over-year. The iPhone XR wound up being the country’s most popular “ultra premium” handset, claims Counterpoint Research. This was followed by Samsung’s Galaxy S10 Plus and OnePlus 7 Pro.
That’s great news for Apple. But there’s still a long way to go.
Apple supplier Wistron has plans to assemble printed circuit boards for future iPhones at a new plant in southern India, a new report claims.
Wistron already manufactures iPhone 6s and 7 models in India. It started out manufacturing iPhones for the Indian market by building iPhone SE modes in 2017.
