Apple will manufacture iPhone 14 in India
Apple Inc. will make its iPhone 14 in India, the company said on Monday, as manufacturers shift production from China amid geopolitical tensions and pandemic restrictions that have disrupted supply chains for many industries.
"The new iPhone 14 lineup introduces groundbreaking new technologies and important safety capabilities. We're excited to be manufacturing iPhone 14 in India," Apple said in a statement.
Apple unveiled its latest line-up of iPhones earlier this month. They will have improved cameras, faster processors and longer lasting batteries at the same prices as last year's models.
India is the world's second-largest smartphone market after China but Apple iPhone sales have struggled to capture a large share of the market against cheaper smartphones from competitors.
The announcement from the Cupertino, California-based company dovetails with Prime Minister Narendra Modi's push for local manufacturing, which has been a key goal for his government ever since he took office in 2014.
The tech company has bet big on India, where it first began manufacturing its iPhone SE in 2017 and has since continued to assemble a number of iPhone models there. Apple opened its online store for India two years ago, but the pandemic has delayed plans for a flagship store in India, according to local media reports.
The latest model will be shipped out by Foxconn, a major iPhone assembler, whose facilities are on the outskirts of Chennai, a city in southern India.
Apple is likely to shift about 5% of its iPhone 14 production to India from later this year, raising it to 25% by 2025, according to a JP Morgan report quoted by the Press Trust of India news agency.
The analysts expect that nearly a quarter of all Apple products to be manufactured outside China by 2025, compared to about 5% now. Supply chain risks like the stringent COVID-19 lockdowns seen in China are likely the trigger for such relocation efforts that will continue over the next two or three years, the report said.
"Apple has been trying to diversify its supply chain for a while, but these efforts have grown in the last two years over trade sanctions between the U.S. and China," said Sanyam Chaurasia, an analyst at Canalys.
Last year, the tech giant manufactured around 7 million iPhones in India. This news is likely to significantly increase India-made Apple smartphones, he added.
He said the plan to make more iPhones in India may also lead Apple to drop its prices for the Indian market, making it more competitive. "You can adopt a more aggressive pricing strategy if you manufacture locally," Chaurasia said.
Most of Apple Inc.'s smartphones and tablets are assembled by contractors with factories in China, but the company started asking them in 2020 to look at the possibility of moving some production to Southeast Asia or other places after repeated shutdowns to fight COVID-19 disrupted its global flow of products.
Apple hasn't released details, but news reports say the company planned to set up assembly of tablet computers and wireless earphones in Vietnam.
Other companies are keeping or expanding manufacturing in China to serve the domestic market while shifting export-oriented work to other countries due to rising wages and other costs, as well as the difficulty for foreign executives to visit China due to anti-COVID-19 travel restrictions.
------
AP Business Writer Joe McDonald in Beijing contributed
CTVNews.ca Top Stories
5 rescued after avalanche triggered north of Whistler, B.C. RCMP say
Emergency crews and heli-skiing staff helped rescue five people who were caught up in a backcountry avalanche north of Whistler, B.C., on Monday morning.
Quebec fugitive killed in Mexican resort town, RCMP say
RCMP are confirming that a fugitive, Mathieu Belanger, wanted by Quebec provincial police has died in Mexico, in what local media are calling a murder.
Bill Clinton hospitalized with a fever but in good spirits, spokesperson says
Former President Bill Clinton was admitted Monday to Georgetown University Medical Center in Washington after developing a fever.
Trump again calls to buy Greenland after eyeing Canada and the Panama Canal
First it was Canada, then the Panama Canal. Now, Donald Trump again wants Greenland. The president-elect is renewing unsuccessful calls he made during his first term for the U.S. to buy Greenland from Denmark, adding to the list of allied countries with which he's picking fights even before taking office.
UN investigative team says Syria's new authorities 'very receptive' to probe of Assad war crimes
The U.N. organization assisting in investigating the most serious crimes in Syria said Monday the country’s new authorities were “very receptive” to its request for cooperation during a just-concluded visit to Damascus, and it is preparing to deploy.
Pioneering Métis human rights advocate Muriel Stanley Venne dies at 87
Muriel Stanley Venne, a trail-blazing Métis woman known for her Indigenous rights advocacy, has died at 87.
King Charles ends royal warrants for Ben & Jerry's owner Unilever and Cadbury chocolatiers
King Charles III has ended royal warrants for Cadbury and Unilever, which owns brands including Marmite and Ben & Jerry’s, in a blow to the household names.
Man faces murder charges in death of woman who was lit on fire in New York City subway
A man is facing murder charges in New York City for allegedly setting a woman on fire inside a subway train and then watching her die after she was engulfed in flames, police said Monday.
Canada regulator sues Rogers for alleged misleading claims about data offering
Canada's antitrust regulator said on Monday it was suing Rogers Communications Inc, for allegedly misleading consumers about offering unlimited data under some phone plans.
Local Spotlight
No need to dream, White Christmas all but assured in the Maritimes
An early nor'easter followed by a low-pressure system moving into the region all but ensure a Maritime White Christmas
'I'm still thinking pinch me': lost puppy reunited with family after five years
After almost five years of searching and never giving up hope, the Tuffin family received the best Christmas gift they could have hoped for: being reunited with their long-lost puppy.
Big splash: Halifax mermaid waves goodbye after 16 years
Halifax's Raina the Mermaid is closing her business after 16 years in the Maritimes.
Willistead Manor celebrates the Christmas season in style, with only two weekends left to visit
From the Great Hall to the staircase and landings, to the conservatory – hundreds of people have toured the Willistead Manor this December.
Music maker, 88, creates unique horn section, with moose antler bass guitar and cello
Eighty-eight-year-old Lorne Collie has been making musical instruments for more than three decades, creations that dazzle for their unique materials as much as their sound.
Promise of high-level hockey comes at a cost for prep school players at Circle K Classic
Calgary is set to host the Circle K Classic, welcoming some high-end talent and pricey prep schools for the annual U18 AAA hockey tournament.
School custodian stages surprise for Kitchener, Ont. students ahead of holiday break
He’s no Elf on the Shelf, but maybe closer to Ward of the Board.
'Theodore Too' refloated after partial sinking in St. Catharines
The life-size replica of Theodore Tugboat, Theodore TOO, is upright again after suffering a partial sinking Tuesday.
Appeal dismissed in Sask. 'thumbs up' emoji case
An appeal to a legal case that made international headlines has been dismissed by Saskatchewan's highest court.