Foxconn Recalls Chinese Engineers from Indian Factory Amid Apple Expansion Hurdles

Foxconn has recalled around 300 Chinese engineers from a factory in India, testing Apple's push to rapidly expand in the country. The engineers were part of a unit called Yuzhan Technology, which makes components for iPhones. The recall is the second such move in a few months, with Taiwanese engineers being flown in to replace the departing staff. This move highlights the sway that Chinese technicians and supply chain hold over high-precision engineered products like iPhones.

Foxconn, the Taiwanese electronics manufacturer and primary supplier for Apple, has recalled around 300 Chinese engineers from its factory in India. The engineers were part of Yuzhan Technology, a subsidiary responsible for making components for iPhones. This is the second instance of such a recall in recent months, with Taiwanese engineers being flown in to replace the departing staff. The move underscores the significant influence that Chinese technicians and the broader supply chain hold over high-precision engineered products like iPhones.

The recall comes at a critical juncture for Apple, which is rapidly expanding its iPhone 17 production in India to diversify its supply chain away from China. The company aims to reduce its reliance on China amidst rising global trade uncertainties. Apple's investment in India has already shown significant results, with smartphone exports from India reaching $7.5 billion during the quarter beginning April 2025 [1].

Foxconn's decision to recall the engineers coincides with a thawing of relations between India and China. The move has raised concerns about potential impacts on Foxconn's operations in India. Beijing has requested a report from Foxconn's chairman regarding the company's investments in India, adding to the complexity of the situation [2].

The recall also highlights the strategic importance of Foxconn's operations in India. Apple is expected to unveil the iPhone 17-series on September 9, 2025, alongside its Watch Series 11 and Watch Ultra 3. The company is scaling up production at its facilities in Hosur, Bengaluru, and Chennai, with Tata expected to produce nearly half of all iPhone models manufactured in India within the next two years [1].

While the recall may cause temporary disruptions, Foxconn has been proactive in mitigating the impact. The company has been recruiting engineers from countries like Taiwan to offset the potential impact of such disruptions. The strategic production shift signals Apple's growing reliance on India, not just as a consumer market but as a key global manufacturing hub in its supply chain.

References:
[1] https://in.mashable.com/tech/98698/apple-expands-iphone-17-production-in-india-with-foxconn-and-tata-units
[2] https://economictimes.indiatimes.com/tech/technology/foxconn-subsidiary-recalls-around-300-engineers/articleshow/123439553.cms