I for India, I for iPhone: Why Foxconn is Doubling Production in 2025

Foxconn's bold move to double iPhone production in India to 30 million units by 2025 marks a significant shift in Apple's strategy to diversify its supply chain.

Introduction

Foxconn, Apple’s key contract manufacturer, will Doubling iPhone Production in India to 25-30 million units in 2025. This move helps Apple diversify its supply chain and reduce reliance on China. India will play a bigger role in global manufacturing.

Foxconn is making a big bet on its new 300-acre facility in Bengaluru. The plant will boost *iPhone production and drive growth in India’s tech sector.

The company is investing $3 billion (INR 25,000 crore) in the project. This expansion will create 100,000 jobs over the next decade.

Foxconn is also exploring new ventures in India, including semiconductor assembly and battery manufacturing, reinforcing its long-term commitment to the country’s growing tech ecosystem.

Overview: Key Highlights of Foxconn’s Expansion

Doubling iPhone Production in India to reach 25-30 million units in 2025, up from 12-13 million units in 2024.

Foxconn’s Bengaluru facility to assemble 20 million smartphones annually, becoming its largest Indian plant.

$3 billion investment in the new plant, with INR 6,970 crore in government incentives.

Apple aims to manufacture 32% of its global iPhone production in India by 2026-27.

100,000 jobs to be created over the next decade as part of the expansion.

techovedas.com/is-apple-moving-iphone-production-to-indonesia-to-lift-the-sales-ban-on-iphone-16

Foxconn’s iPhone Production to Surge in India

Foxconn has been ramping up its India operations rapidly. In 2024, the company assembled around 12-13 million iPhones in the country. With the new Bengaluru facility nearing completion, production is expected to jump to 25-30 million units in 2025.

Testing at the new plant has been ongoing for the last 3-4 months, ensuring that production meets Apple’s stringent quality standards. A source close to the company stated,

“Last year, the company assembled about 12 million iPhones in India. But with the Bengaluru facility coming online, Foxconn is setting much higher targets.”

By increasing local production, Foxconn is not only supporting Apple’s supply chain diversification but also positioning India as a crucial manufacturing hub for high-end electronics.

techovedas.com/from-samsung-to-xiaomi-top-5-foldable-smartphone-market-of-2025-unveiled

Bengaluru Facility: A Game-Changer for Apple in India

Foxconn’s 300-acre Bengaluru facility, located near the city’s airport, is a landmark investment for both the company and Apple. The facility is expected to have an annual production capacity of 20 million smartphones, making it Foxconn’s largest plant in India and the second-largest globally.

Key Stats on the Bengaluru Facility:

  • Investment: $3 billion (INR 25,000 crore) committed to the project.
  • Production Capacity: 20 million iPhones annually.
  • Government Incentives: INR 6,970 crore under Karnataka’s Electronics System Design and Manufacturing (ESDM) policy.
  • Employment: 100,000 jobs to be created over the next decade.

This expansion aligns with Apple’s goal of shifting more production to India, a move that has already seen significant growth in recent years.

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Foxconn’s Expanding Footprint in India

Beyond iPhone production, Foxconn is expanding into new tech sectors in India. Foxconn and its joint venture partner HCL are in talks with Larsen & Toubro (L&T) and Taiwanese firm CTCI. They plan to set up a semiconductor assembly and testing (OSAT) plant in Uttar Pradesh.

The company is also discussing a battery manufacturing unit in Tamil Nadu. The facility will be built on 200 acres of land.

These expansions show Foxconn’s long-term commitment to India. The company aims to grow beyond Apple and expand into broader tech industries.

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Apple’s India Manufacturing Growth: The Big Picture

It is a strategic move aimed at reducing its dependence on China and expanding its global production base.

Apple’s India Expansion in Numbers:

14% of global iPhone production is now based in India (FY24).

Apple’s India-made iPhones contributed $14 billion in value in FY24.

India to account for 32% of iPhone production volume by 2026-27.

Apple’s December 2024 quarter saw record sales in India, leading to plans for four new retail stores.

The increasing importance of India in Apple’s supply chain is evident in the growing local supplier network, which now includes Wipro Enterprises, Bharat Forge, and other Indian manufacturers.

techovedas.com/apple-makes-history-with-1st-u-s-made-iphone-chips

Apple’s Sales Boom in India

Apart from manufacturing, India has emerged as a critical market for Apple products. The company has seen a steady rise in sales, driven by growing consumer demand and a larger retail presence.

Apple CEO Tim Cook highlighted the company’s growth in India, stating:

“India set a December quarter record, and we’re opening four new stores there.”

The strong sales figures indicate that India is not only a manufacturing hub but also a key consumer market for Apple’s premium devices.

Why Foxconn is Doubling iPhone Production in India by 2025

Foxconn plans to increase iPhone production in India to 25-30 million units in 2025. This move supports Apple’s supply chain diversification and strengthens India’s role in global manufacturing.

Key Reasons for Expansion:
  • Apple’s Supply Chain Shift: Reducing reliance on China amid geopolitical tensions.
  • $3 Billion Investment: A new Bengaluru facility will assemble 20 million iPhones annually.
  • Government Incentives: Karnataka approved INR 6,970 crore in benefits for Foxconn.
  • Growing iPhone Sales: India is one of Apple’s fastest-growing markets.
  • Job Creation: The expansion will generate 100,000 jobs in the next decade.
India: A Global iPhone Hub

Foxconn’s expansion confirms India’s rising importance in Apple’s global strategy. With major investments, strong policies, and booming demand, India is set to become a key smartphone manufacturing hub.hub.

The Future of Apple & Foxconn in India

With Foxconn’s expanded production capacity, Apple’s increasing investment, and government support, India is set to become a major player in the global electronics supply chain.

As Foxconn and Apple continue to expand their operations in India, the country is well on its way to becoming a global hub for smartphone and semiconductor manufacturing. With the right investments, policy support, and supply chain growth, India could soon rival China as the world’s leading electronics production center.

techovedas.com/foxconn-announces-investment-of-400m-in-india-to-create-25000-jobs

Conclusion

Foxconn plans Doubling iPhone Production in India to 25-30 million units by 2025. This is a key step in Apple’s supply chain diversification.

The company is investing $3 billion in Bengaluru. It is also working on new semiconductor projects and expanding retail operations. Apple is betting big on India’s future.

India’s growing manufacturing sector will create massive job opportunities. It will also boost local suppliers and strengthen India’s role in global tech manufacturing.

The future looks promising for Apple and Foxconn in India. More investments are likely in the coming years.

Kumar Priyadarshi
Kumar Priyadarshi

Kumar Joined IISER Pune after qualifying IIT-JEE in 2012. In his 5th year, he travelled to Singapore for his master’s thesis which yielded a Research Paper in ACS Nano. Kumar Joined Global Foundries as a process Engineer in Singapore working at 40 nm Process node. Working as a scientist at IIT Bombay as Senior Scientist, Kumar Led the team which built India’s 1st Memory Chip with Semiconductor Lab (SCL).

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