Apple May Begin Assembling iPads in India with Foxconn

Apple's key supplier, Foxconn, is reportedly considering the assembly of iPads at its Sriperumbudur facility in Tamil Nadu, India. This move aligns with Foxconn's recent efforts to expand its manufacturing capabilities in India, particularly in the southern regions where it has been making significant investments.

The Taiwanese company currently assembles various iPhone models, including the latest iPhone 15 series, at several Indian factories, notably in Chennai. According to a report by the Economic Times, discussions are already underway between Foxconn and the Indian government regarding the new iPad assembly line. An anonymous source mentioned, "Their experience so far has been very good, and they are coming full force. They will double what they have in the next few years, which includes iPhone, iPads, and some other products too."

The decision to potentially manufacture iPads in India is plausible, given the technological similarities required for assembling smartphones. However, the production of Apple's flagship MacBook laptops in India might take longer due to their lower production volumes compared to iPhones and iPads.

Foxconn's expansion in India is expected to benefit significantly from the country's Production Linked Incentives (PLI) scheme. This government initiative aims to boost local manufacturing by providing financial incentives to companies that meet specified production targets. In line with these developments, Apple is also reportedly searching for a new manufacturing partner to assist in producing iPad models in India. Additionally, the company plans to increase the production of components for AirPods wireless charging cases at Jabil's Indian factory.

Currently, Apple's major suppliers in India include Pegatron and Tata Electronics. The potential expansion of iPad assembly to India could be part of Apple's broader strategy to diversify its production locations globally. Last year, Apple reportedly moved a portion of its iPad manufacturing to Vietnam. More recently, the company announced plans to open a new research lab in Shenzhen, China, focusing on quality testing for future iPhones and iPads under extreme conditions.

This expansion into India represents a strategic shift for Apple, aiming to reduce its reliance on China amidst ongoing geopolitical tensions and supply chain challenges. The company's increased investment in India and other countries underscores its commitment to diversifying its manufacturing base and tapping into new markets.