Apple's record-breaking iPhone shipments In May, iPhone exports from India reached a remarkable ₹10,000 crore, contributing to a surge in overall smartphone shipments worth ₹12,000 crore for the month. This significant milestone has led Indian officials to view Apple's growing presence in the country as a model to persuade other US companies, including Tesla, to relocate their supply chains to India
Expanding iPhone Manufacturing in India:
Apple's commitment to establishing India as its second home for iPhone manufacturing is evident from the soaring iPhone exports in April and May. In the fiscal year 2023, Apple achieved a remarkable $5 billion in iPhone exports from India, becoming the first single brand to accomplish this feat. The company's move towards diversifying its supply chains away from China has resulted in India emerging as a key hub for iPhone production. Moreover, Apple is also exploring the possibility of manufacturing AirPods in India.
India's Smartphone Export Growth:
The data from the India Cellular and Electronics Association reveals a significant growth in smartphone exports during the first two months of the current fiscal year (April and May). The exports crossed ₹20,000 crore ($2.4 billion), more than double the amount recorded during the same period last year, with iPhones constituting 80% of the exported smartphones. The remaining portion consists of Samsung phones from South Korea and some local brands.
Using Apple's Success to Attract Other Companies:
The Indian government sees Apple's achievements as an opportunity to entice other American companies, particularly Tesla, to shift their supply chains to India. As part of Prime Minister Narendra Modi's state visit to the US, the Indian delegation aims to highlight Apple's success story during engagements with American companies. Strengthening supply chains, particularly in areas such as semiconductors, electric vehicles, and other critical emerging technologies, will be a focal point for the discussions.
Apple's record-breaking iPhone exports from India signify the company's commitment to diversifying its manufacturing beyond China. With India emerging as a favorable destination for iPhone production and the overall growth in smartphone exports, the Indian government aims to leverage Apple's success to attract other US companies to relocate their supply chains to India. The focus will be on bolstering supply chains in critical areas such as semiconductors, electric vehicles, and other emerging technologies.