Apple has been making news with its plan to set up its manufacturing plant in India. With the country’s Make in India initiative, the Cupertino giant seems to be finally making its entry to the country along with the rest of its partners.
According to sources, Cheng Uei Precision Industry Co, an apple’s major cable maker, plans to start its mass production of wire from its new plant in India. It is, however, not the only industry to begin manufacturing products for apple.
According to reports, Foxconn Technology Group, Pegatron Corp., and Wistron Corp, all of apple’s major assembly partners, have set up a subsidiary for India’s iPhone assembly plant. Apple’s assembly partners plan on investing a total of almost $900 million in India in the next five years.
On the other hand, India is offering ₹665 crores as part of its production-linked incentive (PLI) scheme. The scheme provides companies cash incentives on any increase in the sales of locally-made smartphones.
According to sources, Foxconn will invest about ₹4,000 crores, Wistron will invest ₹1300 crore, and Pegatron has committed to invest ₹1200 crore under the PLI plan.
Wistron currently assembles a rough amount of 200,000 second-generation iPhone SEs per month in India. The company now plans to scale its production up to 400,000 a month.
This new plan by Wistron will result in a significant economic boost for the country. It is estimated to create roughly 10,000 jobs in the country.
Tarun Pathak, an associate director at tech researcher Counterpoint, stated that “India is key to Apple’s global ambitions as it expands beyond China. It offers a strategic market to them where skilled labour is cheaper than other manufacturing destinations; the size of the internal market is huge, and the export potential is enormous”.
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