Apple iPhone Exports From India Doubled Between April And August
Apple is one of the most popular smartphone brands in the world, and its iPhones are known for their premium quality and features. However, iPhones are also expensive, and many consumers in emerging markets like India find them out of reach. To address this challenge, Apple has been ramping up its local manufacturing and assembly operations in India, which not only reduces the cost of the devices but also boosts the country’s economy and creates jobs.
In this article, we will look at how Apple’s iPhone exports from India have doubled between April and August 2023, according to a report by Counterpoint Research. We will also explore the reasons behind this growth, and the role of Tata Electronics, which is set to take over Wistron’s iPhone factory in Karnataka.
The Growth of iPhone Exports From India
According to Counterpoint Research, Apple’s ‘Make in India’ shipments grew 65 per cent (on-year) by volume and 162 per cent by value, taking the brand’s value share to 25 per cent in 2022, up from 12 per cent in 2021. The report also stated that iPhone exports from the country surged to cross $5 billion (over Rs 40,000 crore) in FY23 .
One of the main drivers of this growth was the increasing demand for iPhones in international markets, especially in Europe and Africa. Apple’s EMS (electronics manufacturing services) partners Foxconn Hon Hai and Wistron were the fastest growing manufacturers among the top 10 in Q4 2022 and “the growth was also fuelled by increasing exports from Apple”.
Another factor that contributed to the growth of iPhone exports from India was the launch of new models like iPhone 13 and 14, which were manufactured/assembled at Foxconn’s Sriperumbudur facility on the outskirts of Chennai . These models offered better performance, features and design than their predecessors, and attracted more consumers across the globe.
The Role of Tata Electronics
While Foxconn and Wistron have been Apple’s main partners for iPhone manufacturing in India, a new player is set to join the fray soon. Tata Electronics, a subsidiary of the Tata Group, is reportedly taking over Wistron’s iPhone factory in Kolar, near Bengaluru. Wistron is exiting India due to issues related to scale and work culture.
Tata Electronics is expected to manufacture new Apple products that may include the upcoming iPhone series. Industry experts believe that this move makes sense for the Tata Group, as it aligns with their ambition on semiconductors and EVs. Moreover, Tata Electronics has the potential to gain expertise and experience in high-end iPhone manufacturing, and solidify its position as a pivotal player in the iPhone manufacturing ecosystem.
“With the new make-in-India potentially entry to mid-level iPhone 15 series, the Tata Group will make a modest beginning in this new partnership,” according to Prabhu Ram, Head, Industry Intelligence Group, CMR. “We anticipate a remarkable growth trajectory for the Tata Group in the coming years as they gain expertise and experience in high-end iPhone manufacturing,” he added.
Apple’s iPhone exports from India have doubled between April and August 2023, thanks to the increasing demand for iPhones in international markets, and the launch of new models like iPhone 13 and 14. The country has also emerged as a key hub for iPhone manufacturing, with Foxconn and Wistron being the major players. However, a new entrant is on the horizon, as Tata Electronics is set to take over Wistron’s iPhone factory in Karnataka. This move could boost Apple’s local production and create more opportunities for innovation and employment in India.