Foxconn in India gets more orders from Apple - To meet higher local demand

Foxconn unit that manufactures iPhones
(Image credit: Foxconn)

After months of trials and some unexpected delays, one of Apple’s contract manufacturers in India, Foxconn, started manufacturing the iPhone 13 early this month.

And now the news is that the Foxconn plant in Sriperumbudur, which not long ago was in the eye of workers trouble, has now received government clearance to increase workforce, which would help the company to amp up its production numbers for the domestic market.

According to a report in The Economic Times, the government has approved Apple's application for denotification of 40 acres inside Foxconn plant near Chennai operating in the special economic zone (SEZ).

Demand for iPhone rising in India

As per rules, goods manufactured in SEZs would be earmarked for exports. but thanks to the denotification, the area within the Foxconn plant will be regarded as DTA (domestic tariff area), and this would enable the company to increase its workforce and production to meet the local demand for iphones, which reportedly has been rising.

India's demand for iPhones is on the up, with IDC data showing that iPhone shipped 4.77 million units in 2021, the highest record for Apple in India.

The Economic Times report also said that the Foxconn which reopened in January with limited staff is now moving towards normalcy. Over 10,000 of the total 15,000 workers have returned to the company-provided accommodations.

Foxconn has been improving living conditions at its hostels for workers, and all of its hostels should be able to be approved to reopen by the first week of May, except the ones that it has decided not to open for now. Foxconn had earlier announced that it would upgrade the dormitories and the dining rooms for the workers. 

Foxconn has invested an additional $350 million in the unit to help build an exclusive production line for Apple iPhone 13. Aside from iPhone 13, the Sriperumbudur plant rolls out iPhone XR, iPhone 11, and iPhone 12 models. Foxconn also has a unit in nearby Andhra Pradesh.

Amid supply chain diversification from China to India and Vietnam, Apple is hoping to improve things at the facilities of its contract manufacturers in India.

Apart from Foxconn, the two other Apple products manufacturers in India are Pegatron and Wistron.

Balakumar K
Senior Editor

Over three decades as a journalist covering current affairs, politics, sports and now technology. Former Editor of News Today, writer of humour columns across publications and a hardcore cricket and cinema enthusiast. He writes about technology trends and suggest movies and shows to watch on OTT platforms.