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Apple already has a manufacturing unit in India through Wistron in Bengaluru, but it only makes low-cost iPhone SE and 6S models. Reuters today reported that Apple’s main manufacturing partner Foxconn will start assembling high-end iPhones in India from 2019. Foxconn will be doing this job in Sriperumbudur, Tamilnadu, where it already has a huge mobile manufacturing unit. Foxconn will invest $356 million and the investment may create as many as 25,000 jobs.
Apple’s decision to start making iPhone outside of China may not surprise anyone given the current trade war going on between the US and China. Assembling iPhones in India will also allow Apple to come back strong in the local smartphone market with reduced price tags for its devices. Due to import taxes, an iPhone XS 64GB currently costs $1421 USD in India! This price may go down to $1000 USD once Foxconn starts making iPhones in India.