As part of its strategic initiative to diversify its global supply chain and decrease reliance on Chinese manufacturing, Apple has communicated its preference for iPhone 16 batteries to be produced in India. According to reports from The Financial Times, Apple has conveyed this preference to battery suppliers, including China’s Desay and Taiwan’s Simplo Technology, urging them to consider establishing new manufacturing facilities or expanding existing ones in India for upcoming orders.
All About Apple iPhone 16 Battery Production
A source close to Apple, cited by FT, stated, “If all goes well with iPhone 16 battery supply, Apple plans to move more iPhone battery production to India.” Currently, Apple collaborates with Foxconn, Pegatron, and Tata (the new owner of Wistron) for iPhone manufacturing in India, with Foxconn handling the majority, approximately 75 to 80 percent, of device assembly. Foxconn has made substantial investments, exceeding $500 million, in India to bolster its manufacturing capabilities.
According to Apple analyst Ming-Chi Kuo, an estimated 12 to 14% of global iPhone shipments are currently manufactured in India. This percentage is anticipated to grow to 20 to 25 percent by 2024. Kuo also predicts that initial production for the standard iPhone 17 will commence in India in the second half of 2025, marking a significant milestone as it would be the first instance of Apple initiating the development of a new iPhone outside of China.
Beyond the benefits of diversifying manufacturing locations, this move to expand production in India offers Apple an opportunity to fortify its relations with the Indian government. Considering the increasing demand for Apple products in the country, India holds strategic significance as a key market for the technology giant. Strengthening ties and increasing investment in India align with Apple’s broader goal of establishing a robust presence in this dynamic and rapidly growing market.
