According to the Wall Street Journal report, Foxconn recently said it would reduce its reliance on mainland China as its main source of revenue. On Wednesday’s conference call, the Foxconn chairman said nearly 70% of the company’s current revenue comes from mainland China. However, the proportion of markets coming from outside of mainland China will increase in the future. According to those familiar with the situation, Foxconn intends to triple the number of employees to 100,000 by 2024. The company will also increase annual production of assembled Apple phones in India to 20 million. The facility currently manufactures 6 million iPhones annually.
Gizchina News of the week
Next to Tamil Nadu where Chennai is located, Foxconn intends to build a new factory in Karnataka. The report claims that Apple iPhones and other devices are produced here. Foxconn also plans to build a new facility in Hyderabad, as well as a silicon carbide manufacturing and packaging facility for the Indian semiconductor market. India is clearly becoming a very ideal choice in many people’s eyes as Apple Inc. has been trying to accelerate the supply chain transition in recent years. Although replacing Chinese production is still quite difficult. These low yield rates are temporary, according to some supply chain players. With further development, more iPhones may be produced in India in the future.
Apple and India can form a strong alliance
Apple’s home country is the USA, but for cost reasons no significant production can take place there. China has been Apple’s manufacturing base for several years. However, with tensions rising between the US and China, the company needs new alternatives. Similarly, India has been pushing for Made in India goods for many years. So it seems that Apple and India want the same thing. While Apple wants to pull out of China, India wants to keep relevant brands.