Apple is planning to move the production of its flagship series iPhone 12 to India. A new report suggests that this move by the American tech giant may happen as early as this quarter. Apple has not revealed any official information as yet. However, if the company starts producing the new iPhone series it could lead to a decrease in price for the flagship smartphones in India.
A report by Nikkei Asia, citing sources claimed that Apple will be stepping up the production of iPhones in India, which is currently the second-largest production based for the company’s popular smartphone series. The sources claim that Apple will be commencing the production of the latest iPhone 12 series which also are the first iPhone with 5G connectivity.
The report also suggests that Apple is working on diverting production of other core products from its current manufacturing bases in China which includes iPad, Macs and other products. Vietnam is expected to expand its production capacity for Apple products. The report suggests that Apple has already boosted production of its audio products in Vietnam which includes the production of the HomePod mini, which has been produced in Vietnam since its launch last year. The Cupertino based tech company will also move its MacBook production to Vietnam, according to the report.
China has long been considered a manufacturing hub for the world. This new shift of production is claimed to be part of a strategy to diversify economic activities to South-East Asian countries in light of the long-standing US-China trade war and pandemic-induced supply disruption.
Apple suppliers have also reportedly started the movement from China towards other South-East Asian countries. The report claims that Foxconn, one of Apple’s major supplier has injected $270 million into Vietnam to expand its production base in the country.
The new Joe Biden administration in the United States has also not led to any respite for the US-China trade war as the President has not reversed any of the new tariffs set up by the Trump administration in 2018.