Apple begins shipping India-made iPhones to European markets

Apple has begun exporting India-made iPhones to parts of Europe in a move beneficial to both Apple and India as a whole.

According to sources familiar with the situation, Apple has shipped iPhones to some European markets from India. The move was confirmed by Foxconn's CEO Terry Gou earlier this year — but Gou wasn't clear on the timetable.

Apple has contracted Wistron Corp, who had originally begun assembling the iPhone SE in India in 2017. The phones are being exported from its facility in Bengaluru.

The move is mutually beneficial for both Apple and India. For Apple, it allows them to benefit from using sources outside of China, cutting tariff costs imposed by the Trump administration on Chinese-made goods.

Apple has asked Wistron, Foxconn, and Pegatron to look towards moving 30% of their production to locations outside of China.

India stands to benefit as well, as it would highlight their plausibility as a foreign investment for exported goods.

According to an article at IndiaTimes, the iPhones are currently being exported in quantities of under 100,000 units a month. The data was provided by Neil Shah, research directior at Counterpoint Research.

According to senior executives in the industry, the export volumes were 70% to 80% of the total capacity of Wistron's capabilities.

"For Foxconn, the China market for iPhones is saturated, and labor costs are three times higher compared with India," Counterpoint Research analyst Karn Chauhan said previously in regards to the development. "India is still an emerging smartphone market, it has a lot of potential domestically and could serve as an export hub for the region."

Local manufacturing of the iPhone could also help Apple get a foot in the door for opening its own stores in India.

10 Comments

melgross 33607 comments · 20 Years

About 5 years ago

We may not have the advantage with India much longer, as Trump started a trade war with them as well, and India has already begun to retaliate. If this keeps up, we’ll have another depression.

crowley 10431 comments · 15 Years

melgross said:

We may not have the advantage with India much longer, as Trump started a trade war with them as well, and India has already begun to retaliate. If this keeps up, we’ll have another depression.

Remind me of this map:

You'll be able to draw a new one soon with all the countries that Donnie has insulted and/or started a trade war with. Probably one with countries that he's heard of too, that'll be limited.

maestro64 5029 comments · 19 Years

melgross said:

We may not have the advantage with India much longer, as Trump started a trade war with them as well, and India has already begun to retaliate. If this keeps up, we’ll have another depression.

China steal US companies IP, knock it all off and turns around and sells it all on the world mark at prices which are lower than any US company can sell. Then you have India who undercuts high tech wages by 1/3 and get US company to outsource IT work to India. They tariff anything made in the US by 100% unless they force the product to be made in India. They force US drug companies to make drugs in India and sell the drugs at far lower price than anywhere else. This alone if the reason drugs cost more in the US. I am not sure which of these two countries are worse.

I just wish the US would implement reciprocal duty and tariffs which are automated as soon as another country puts tax, duty, tariff or VAT on any product or service the US matched exactly what they do for any of their product coming to the US. The US had been talking about doing reciprocal trade practices but have not. If they did then it no longer political and it an automatic reaction to when another country try make money of US goods and services. Yes I know US citizens pay the tax, but if other country will not profit from the US, they will think twice about playing their games. Today they know the US has always been slow to react to any thing related to trade so they do it anyway and hope to get away with as long as they can.

I feel bad for any customer getting product coming out of India, at least China made huge investments in their infrastructure and work force training. India did not and their quality is no where close to China at this point.

Folio 698 comments · 7 Years

Assembly of non- critical older phones is not too complex for India. I've been inside a small line for androids in US years ago, and doubtless lines are even more automated now. Expect to go shopping in Apple Mumbai store in 2020. Fingers crossed.

maestro64 said:

melgross said:

We may not have the advantage with India much longer, as Trump started a trade war with them as well, and India has already begun to retaliate. If this keeps up, we’ll have another depression.

China steal US companies IP, knock it all off and turns around and sells it all on the world mark at prices which are lower than any US company can sell. Then you have India who undercuts high tech wages by 1/3 and get US company to outsource IT work to India. They tariff anything made in the US by 100% unless they force the product to be made in India. They force US drug companies to make drugs in India and sell the drugs at far lower price than anywhere else. This alone if the reason drugs cost more in the US. I am not sure which of these two countries are worse.

I just wish the US would implement reciprocal duty and tariffs which are automated as soon as another country puts tax, duty, tariff or VAT on any product or service the US matched exactly what they do for any of their product coming to the US. The US had been talking about doing reciprocal trade practices but have not. If they did then it no longer political and it an automatic reaction to when another country try make money of US goods and services. Yes I know US citizens pay the tax, but if other country will not profit from the US, they will think twice about playing their games. Today they know the US has always been slow to react to any thing related to trade so they do it anyway and hope to get away with as long as they can.

I feel bad for any customer getting product coming out of India, at least China made huge investments in their infrastructure and work force training. India did not and their quality is no where close to China at this point.

Some of what you’re saying is true, and some isn’t.

nevertheless, what he’s doing is having more of a deleterious effect on our economy than theirs, which figures. And, fun fact, it’s negatively affecting red states more than blue ones.