Foxconn begins iPhone 15 production in India, reports claim

With a tentative launch date currently anticipated as September 12, Apple supplier Foxconn has begun iPhone 15 production in India at its manufacturing centre in Tamil Nadu. The intention is that products manufactured there will begin to ship at around the same time as they emerge from Chinese factories.

A maturing manufacturing chain

When it comes to the Apple supply chain becoming sufficiently mature in India to manufacture goods for global markets this is significant. It shows Apple and its partners want to bring manufacturing in India and China closer together in delivery.

It may also be a significant as the nation’s iPhone production heads into double percentile figures in terms of global iPhone production.  We believe Apple eventually plans to see 50% of iPhones made in India.  The company made 7% of all iPhones in India last year.

Apple wants to turn you pro

The new iPhones are expected to introduce 3nm processors in the Pro models. They may also introduce periscopic camera and thinner bezels. Apple seems to expect the biggest sales for its more expensive Pro models. Digitimes tells us:

“Of the 86.3 million iPhone 15 units Apple plans to produce in 2023, the basic iPhone 15 model accounts for 21.8 million units (25%). The large-screen iPhone 15 Plus accounts for 8.5 million units (10%). The high-end iPhone 15 Pro accounts for 24.2 million units (28%), and the flagship iPhone 15 Pro Max accounts for 31.8 million units (37%).”

Like the entire smartphone industry, Apple has experienced three quarters of sales decline; despite which its relative market share has grown.

India is so important to Apple 

The decision to diversify iPhone production to India (and Mac making to Vietnam and Thailand) reflects the company’s desire to reduce its exposure to China. More recent moves by India’s government may see some Mac production shift to those shores, while Foxconn plans to begin AirPods manufacture in India next year.

Apple sees India as both a production and a sales opportunity and iPhone sales there reached a new high in the just gone quarter. “We forecast India’s smartphone market growing 3x over the next decade… accounting for 100% of global smartphone growth through 2032,” analysts predict.

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