iPhone production in India: Foxconn allegedly withdraws Chinese employees
Apple wants to manufacture up to 30 percent of all iPhones in India, but needs Chinese specialists to set up production. But they are now leaving.
iPhone in front of the Indian flag: Apple relies heavily on India as a production location.
(Image: Ritesh Ranjan Sett / Shutterstock.com)
Apple's attempts to establish India as an important new production location for iPhone & Co. have gone well so far, but there have been repeated disruptions. For example, the Chinese government tried to ban the export of machines and other components that were to be exported to India to set up production as “military technology”. Now there are problems with the manufacturer Foxconn. Although 20 percent of all iPhones are now built in India, the company is said to have withdrawn numerous employees of Chinese origin.
300 Chinese flown out
This was reported by the financial news agency Bloomberg. Apparently, “hundreds” of Chinese engineers and technicians are affected. The plan has apparently been in place for two months. At that time, Foxconn told the first Chinese employees that they should return. Since then, “more than 300” people have left. Currently, “mainly support staff” from Taiwan, where Foxconn has its headquarters, remain in India.
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The reasons for the withdrawal have not yet been leaked. Bloomberg speculates that it has to do with political decisions from Beijing: The government is trying to prevent the transfer of technology to India as much as possible. Foxconn itself is dependent on Beijing and is therefore likely to give in to pressure. Earlier this year, according to Bloomberg, officials in Beijing verbally urged regulators and local governments to restrict the export of equipment to India and South East Asia. This could be an attempt to discourage companies from moving their production abroad, they said.
Major projects in India
Apple wants to manufacture all iPhones destined for the US in India by the end of 2026 to avoid US import duties on Chinese goods. However, the US government – and specifically President Donald J. Trump – had already stated that they do not want this relocation – Apple should produce in the USA.
The problems in India have come at an inopportune time for Apple, which is currently preparing for mass production of the iPhone 17. In addition, a new iPhone plant is being built in southern India at a cost of billions of US dollars. Neither Apple nor Foxconn commented on the report.
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