Tamil Nadu set to become Apple products manufacturing hub

Apple is set to have most of the components for its products manufactured in India. Component manufacturers like Tata Electronics, Luxshare, and Pegatron have all received a nod to start manufacturing in the state of Tamil Nadu. At present, iPhones are only assembled in the country but could soon be manufactured in India as well.

The news comes amid the cabinet of the state Tamil Nadu clearing several projects with investments of around ₹52,527. The state is already home to Foxconn and Salcomp which have setup manufacturing facilities. The addition of new manufacturing companies will result in more parts of the iPhone to be manufactured in India.

Local iPhone components manufacturing

Apple is working on increasing the number of the iPhones being manufactured in India. The company is already exporting some of the units to other countries. However, only the iPhone 11, the iPhone XR, and the second generation iPhone SE are being assembled in India at the moment. The company is reportedly working on having the latest iPhone 12 series assembled/manufactured in India.

iPhones

By assembling some of the iPhone models in India, Apple has been able to reduce the selling price of the phones. The company continues to pay a heavy import duty fee for the latest iPhone 12 series, the extra price is directly passed to consumers, resulting in a price increase.

As part of the plans to increase manufacturing in India, Tata Electronics will invest ₹5,763 crores in the state of Tamil Nadu and create 18,250 jobs as a result. The Taiwanese based manufacturer Pegatron will invest ₹1,100 crores and create 14,000 jobs as a result, in the first phase. 

Pegatron will reportedly make phones in the Mahindra World City, Chengalpet district. It is about 60kms from the metropolitan city Chennai. Luxshare is investing ₹745 crores and create 4,000 jobs as a result.

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