India Economy Thread

hydrabadi_arab said:
With 100% of iPhone components imported, what is margin here? 3%?
Click to expand...
Apple has significantly ramped up iPhone production in India, with one in five iPhones now manufactured domestically, including the latest iPhone 17 series. Driven by geopolitical shifts and India's production-linked incentive (PLI) scheme, Apple has expanded its supply chain to include over 45 companies and local MSMEs. Key manufacturing partners like Foxconn and Tata Electronics operate major factories, enabling the production of a significant number of iPhones for export and domestic sale.
Key Developments
First-time Production of Latest Models: For the first time, all models of the iPhone 17 series and the iPhone Air were built in India from day one.
Increased Domestic Output: India now produces approximately 20% of all iPhones globally.
Robust Supply Chain: Apple's supply chain has expanded to include nearly 45 companies, with over 20 Indian MSMEs integrated into the process.
Job Creation: The expansion has created 350,000 jobs within Apple's supplier network in India.
Key Players & Locations
Manufacturing Partners: Major partners include Foxconn and Tata Electronics.
Manufacturing Hubs: Production is concentrated in factories located in Tamil Nadu and Karnataka, including Foxconn's plant in Sriperumbudur and Tata's facilities in Hosur.
Component and Subassembly Ecosystem: Facilities and suppliers for components and subassemblies are spread across several Indian states, including Maharashtra, Uttar Pradesh, Gujarat, Andhra Pradesh, and Haryana.
Drivers for Expansion
Geopolitical Shifts: The expansion is partly a response to geopolitical tensions and a move to reduce dependency on China.
Government Incentives: India's production-linked incentive (PLI) scheme, introduced in 2020 for smartphones, has been a significant driver of this growth.
Cost-Effectiveness: India offers a cost-effective alternative for manufacturing, with assembly costs significantly lower than in the US.
Impact
Top Export: The surge in iPhone manufacturing has made smartphone exports India's top export by 2024-25.
Local Economic Growth: Apple's presence has supported local businesses and MSMEs, fostering growth in the Indian electronics ecosystem.
Diversification: This strategy helps Apple create a more geographically diverse and resilient supply chain.
Apple set a new record by exporting iPhones worth INR 1.08 trillion (US$12.8 billion) from India in 2024, marking a 42 percent year-on-year growth, according to media reports. The surge has been driven by increased local value addition (15–20 percent depending on the model) and a 46 percent rise in domestic production to INR 1.48 trillion (US$17.5 billion). In 2023, Apple exported US$9 billion worth of iPhones, accounting for 75 percent of its domestic production of US$12 billion.

If this growth trend persists, Apple could reach US$30 billion in annual production within a few years, increasing India’s share in its global iPhone production from the current 14 percent to over 26 percent.
 
Thomas Kurian, CEO, Google Cloud: The Government of India and the State of AP we are pleased to announce a GW scale AI hub in Vizag
It is the largest AI hub that we are investing in outside the US15 billion dollars over the next 5 years

We will scale to multiple GW. It is a part of the network of data centres that we are building

To view this content we will need your consent to set third party cookies.
For more detailed information, see our cookies page.

To view this content we will need your consent to set third party cookies.
For more detailed information, see our cookies page.

To view this content we will need your consent to set third party cookies.
For more detailed information, see our cookies page.
 
Russia, Azerbaijan and Iran have agreed to set up a working group to draw up an action plan by the beginning of 2026 to develop the western route of the International North-South Transport Corridor, a statement adopted following a trilateral meeting on transport, energy and customs cooperation in Baku said.

The North-South corridor links northern Europe with the Gulf and Indian Ocean states via Russia, Caucasus and Central Asia. The multimodal corridor was created under an agreement signed by Russia, Iran and India in 2000. The number of participants now stands at 12. The corridor has three main routes, namely, the western route going along the western coast of the Caspian Sea, the eastern route stretching along the eastern coast of the Caspian Sea, and the trans-Caspian route extending across the Caspian Sea.
 
You must log in or register to reply here.

Users who are viewing this thread

Total: 5 (members: 0, guests: 5)

Pakistan Defence Latest

Country Watch Latest

Latest Posts

Share this page

Back
Top