Summary:
- New iPhone Assembly Plant: Tata Electronics will start producing iPhones at a ₹6,000 crore facility in Hosur, Tamil Nadu, in November 2024,
- Large-Scale Employment: The new plant will employ 50,000 workers, primarily women, and will be the second-largest iPhone assembly facility in India, after Foxconn’s plant in Tamil Nadu.
- Supply Chain Strategy: This facility will bolster Apple’s efforts to localize its supply chain in India and is part of a broader strategy to diversify manufacturing away from China.
Tata’s ₹6,000 crore Hosur plant will start making iPhones in November 2024, according to a report.
Apple is about to get its fourth iPhone assembly unit in India, built by Tata Electronics, with production expected to start in November, according to a report by Business Standard.
Located in Hosur, Tamil Nadu, this will be Tata’s second iPhone assembly plant in India after it acquires Wistron’s unit in neighboring Karnataka.
The report also mentions that preparations are in full swing to begin iPhone production at the 250-acre site, where Tata set up a components unit three years ago.
Tata Electronics is expected to invest ₹6,000 crore in this new facility, matching a similar investment made in the existing components unit also the facility is expected to employ 50,000 workers, mostly women, making it the second-largest iPhone assembly plant in India after Foxconn’s Tamil Nadu unit.
Enhancing Apple’s Supply Chain Localization:
The new plant is expected to strengthen Apple’s efforts to localize its supply chain and deepen its collaboration with Tata, which currently manages an iPhone manufacturing unit acquired from Wistron Corp. in Karnataka.
This shift in manufacturing aligns with Apple’s strategy to reduce reliance on China by expanding operations in countries like India, Thailand, and Malaysia. According to a Wall Street Journal report on December 7, Apple and its suppliers aim to produce over 50 million iPhones annually in India within the next two to three years, with plans to increase production in the following years.
Tata has been actively expanding its partnership with Apple by diversifying its operations beyond traditional sectors like salt and software. The company has increased its workforce at the Hosur facility, focusing on making iPhone enclosures, and is planning to open 100 Apple-focused retail outlets. Meanwhile, Apple has already launched two stores in India and has plans for three more.
