Foxconn's $1.5 Billion Bet: India's Rise in Apple's Global Manufacturing Shift

Apple's primary iPhone manufacturing partner, Foxconn, has announced a significant investment of $1.5 billion into its subsidiary in India. This move is part of Apple's ongoing strategy to shift iPhone production away from China, which has long been the foundation of its manufacturing process. Through a filing on the stock exchange, Foxconn disclosed this substantial financial commitment.

In recent years, Foxconn has been actively expanding its production capabilities in India, specifically in the southern region. This expansion is not limited to India; Foxconn is also increasing its investments within the United States.

This strategic decision coincides with Apple's broader initiative to diversify its manufacturing bases beyond China. India has emerged as a crucial alternative manufacturing hub for Apple, positioning itself as a pivotal player in the company's global production strategy.

The transition efforts have already been reflected in Apple's production outputs, as reports indicate that India assembled iPhones worth $22 billion in the 12 months leading up to March 2025, marking an approximate 60% increase from the previous year. Apart from Foxconn, Tata Electronics and Pegatron are reportedly operating factories in India focusing on iPhone manufacturing. Apple's ambitious plan is set to escalate, aiming to produce the majority of iPhones sold in the U.S. from Indian facilities by the end of 2026.