Apple to create lakhs of jobs in India! Apple plans to shift a significant portion of its supply chain from China to India, aiming to boost local employment by three-fold to around 500,000 in the next three years. The tech giant is focusing on increasing the value addition from its Indian suppliers, following a similar strategy implemented in China.
Top officials told ET that the iPhone maker aims to move at least half of its existing supply chain from China to India. Currently, the domestic value addition in India stands at 11-12%, expected to rise to 15-18%, compared to 28% in China.
Apple’s endeavors in India are anticipated to witness substantial growth in the near future. Apple did not respond to queries sent by the financial daily.
Analysts suggest that India’s increasing significance as a market for both Apple exports and local sales will stimulate a robust supplier network and position the country as a potential hub for research and development, particularly in software-to-silicon design.
Neil Shah, Vice President at Counterpoint Research, highlights that the current local value addition in iPhones manufactured in India is 14%, compared to 41% in China. However, with strategic investments and expansion, there is potential for Apple to raise this figure to over 20% within the next three to five years.
Under the production-linked incentive (PLI) scheme for smartphones, Apple has emerged as the largest blue-collar job creator in India, generating 150,000 direct jobs through its supplier network and an estimated 300,000 indirect jobs. Apple’s contractors, including Foxconn, Tata, and Salcomp, are set to provide residential facilities for factory employees, with a total of 78,000 units planned, predominantly in Tamil Nadu.
Also Read | Apple ecosystem becomes biggest blue-collar job creator in India! 1.5 lakh direct jobs created since PLI scheme
Key suppliers like Tata Electronics, Salcomp Technologies, Foxlink, Sunwoda, Avary Technologies, CCL Industries, and Flex have played a crucial role in job creation by manufacturing various components for iPhones in India. Reports suggest that Apple aims to manufacture 50 million devices annually from India by 2030, accounting for a quarter of its total iPhone production.
Also Read | Apple Awas Yojana? Apple ecosystem to now build residential facilities for workers after creating 1.5 lakh direct jobs
In January, the financial daily had reported that Apple’s iPhone production in India surpassed Rs 1 lakh crore in the previous year, marking a significant surge from the previous year’s output. Of this, iPhones manufactured in India valued at Rs 65,000 crore were exported between January and December.
During the earnings call in February, Apple CEO Tim Cook remarked that the company maintains robust double-digit growth in numerous emerging markets, achieving all-time highs in various countries, including a record-breaking quarter in India during December.
Top officials told ET that the iPhone maker aims to move at least half of its existing supply chain from China to India. Currently, the domestic value addition in India stands at 11-12%, expected to rise to 15-18%, compared to 28% in China.
Apple’s endeavors in India are anticipated to witness substantial growth in the near future. Apple did not respond to queries sent by the financial daily.
Analysts suggest that India’s increasing significance as a market for both Apple exports and local sales will stimulate a robust supplier network and position the country as a potential hub for research and development, particularly in software-to-silicon design.
Neil Shah, Vice President at Counterpoint Research, highlights that the current local value addition in iPhones manufactured in India is 14%, compared to 41% in China. However, with strategic investments and expansion, there is potential for Apple to raise this figure to over 20% within the next three to five years.
Under the production-linked incentive (PLI) scheme for smartphones, Apple has emerged as the largest blue-collar job creator in India, generating 150,000 direct jobs through its supplier network and an estimated 300,000 indirect jobs. Apple’s contractors, including Foxconn, Tata, and Salcomp, are set to provide residential facilities for factory employees, with a total of 78,000 units planned, predominantly in Tamil Nadu.
Also Read | Apple ecosystem becomes biggest blue-collar job creator in India! 1.5 lakh direct jobs created since PLI scheme
Key suppliers like Tata Electronics, Salcomp Technologies, Foxlink, Sunwoda, Avary Technologies, CCL Industries, and Flex have played a crucial role in job creation by manufacturing various components for iPhones in India. Reports suggest that Apple aims to manufacture 50 million devices annually from India by 2030, accounting for a quarter of its total iPhone production.
Also Read | Apple Awas Yojana? Apple ecosystem to now build residential facilities for workers after creating 1.5 lakh direct jobs
In January, the financial daily had reported that Apple’s iPhone production in India surpassed Rs 1 lakh crore in the previous year, marking a significant surge from the previous year’s output. Of this, iPhones manufactured in India valued at Rs 65,000 crore were exported between January and December.
During the earnings call in February, Apple CEO Tim Cook remarked that the company maintains robust double-digit growth in numerous emerging markets, achieving all-time highs in various countries, including a record-breaking quarter in India during December.