Apple's Strategic Move in India

Apple is in discussions with Bharat Forge, a leading company under the Kalyani Group, to potentially become a key vendor in India. This collaboration aims at Bharat Forge manufacturing various components and mechanics for Apple, marking a significant step in Apple's expansion of its Indian supplier network.

This initiative is part of Apple's broader strategy to enhance local value addition and reduce its manufacturing dependence on China, following its existing partnerships with other Indian enterprises like the Tata Group, Motherson Group, and Aequs.

Expanding Apple's Manufacturing Presence

Apple's manufacturing footprint in India includes three iPhone assembly facilities, with Foxconn operating the largest in Tamil Nadu. Tata Group units manage two additional facilities in Tamil Nadu and Karnataka. Bharat Forge, with its vast experience across various sectors, is poised to join Apple's growing list of suppliers, further solidifying Apple's commitment to India's manufacturing sector.

International suppliers from China, Japan, Taiwan, and other countries have also established manufacturing units in India, contributing to the country's growing importance in the global supply chain.

Looking Ahead

With Apple achieving 20% local value addition across various models, the company's efforts to expand its supplier network in India mark significant progress from the 5-8% local value addition when manufacturing began under the PLI scheme in 2020. The future looks promising as Apple continues to explore new partnerships and opportunities in India, aiming to further increase its local value addition and strengthen its presence in the Indian market.