Apple Inc. AAPL and its partner suppliers reportedly plan to manufacture over 50 million iPhones annually in India in two to three years to increase production by tens of millions more in the subsequent years.
Should these plans come to fruition, India is set to contribute to a quarter of the worldwide iPhone production, with expectations to gain a larger portion of the market share as the decade progresses, according to a news report by the Wall Street Journal.
However, China will continue to be the primary producer of iPhones, the report added.
Apple and its suppliers, prominently including the Taiwan-based Foxconn Technology Co., Ltd. FXCOF, view their initial foray into India as successful.
This positive outcome is paving the way for a more substantial expansion in the region, according to the report, which cited individuals involved in the supply chain.
The initial phase of a Foxconn facility currently being built in Karnataka, a southern state of India, is anticipated to commence operations in April, the report read.
People with direct insights into the construction plans state that the plant is targeting the production of 20 million mobile handsets annually, predominantly iPhones, over the next two to three years, it added.
Apple has selected India as the location for a manufacturing phase dedicated to lower-end iPhones set to be released in 2025.
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This phase, known as the new product introduction, involves Apple's teams collaborating with contractors to transform product blueprints and prototypes into a comprehensive manufacturing plan, the report read. Previously, this crucial stage was exclusively conducted in China, it added.
The smartphone behemoth is also set to partner with Indian conglomerate Tata Group for the establishment of one of India's largest iPhone assembly plants, per a report by Bloomberg.
The facility is expected to feature around 20 assembly lines and create job opportunities for approximately 50,000 workers within a two-year timeframe, the report read.
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The goal is for the site to be operational in 12 to 18 months, according to the report.
These developments signify that Apple intends to have the capacity to make at least 50 million to 60 million iPhones in India annually within two to three years, the WSJ reported, citing said people involved in the planning. Annual capacity could grow by millions of units after that.
Read Next: Apple's iPhone 15 Boosts Global Smartphone Sales, Ending 27-month Decline: Report
Price Action: AAPL shares are trading lower by 0.18% to $193.92 premarket on the last check Friday.
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