As Apple transfers a part of its supply chain from China to India, the country may see a job explosion by next March with contract manufacturers and suppliers continuing to expand the production share.
Apple’s operations in India are projected to generate up to 600,000 jobs by the end of March, showcasing the company’s expansion in the country as it seeks to shift production away from China.
By the end of this fiscal year, Apple’s Indian workforce is expected to include 200,000 direct jobs, with women accounting for a substantial 70%, based on estimates and data provided by the company and its suppliers to the government.
According to a recent Economic Times report, government sources revealed that Apple’s contract manufacturers, Foxconn, Tata Electronics, and Pegatron, have already created 80,872 direct jobs in India.
Additionally, the company’s wider supplier network, which includes Tata Group, Salcomp, Motherson, Foxlink in Tamil Nadu, Sunwoda in Uttar Pradesh, ATL in Haryana, and Jabil in Maharashtra, has collectively generated 84,000 direct jobs since the launch of the PLI schemes in 2020.
The Economic Survey last month noted that India now accounts for approximately 14% of Apple’s global production, a significant increase from 7% in FY23, highlighting India’s growing role as a major export hub.
Initially, the smartphone PLI scheme aimed to generate 200,000 direct jobs over five years with the involvement of 10 selected firms. Apple appears to have reached this goal in four years, according to the Times of India.
It is also the first major global company to move part of its supply chain from China to India, starting iPhone production in India in 2021. In FY24, this has led to a Rs 1.2 trillion earning, with Rs 850 billion coming from exports.
Industry experts also believe that Tamil Nadu will be the centre of Apple’s production and employment boom.
Meanwhile, according to Bloomberg, Apple also plans to begin manufacturing the iPhone 16 Pro and iPhone 16 Pro Max at its Tamil Nadu factory. These models will be unveiled globally at Apple’s ‘Its Glowtime’ event on September 9.
Foxconn’s Sriperumbudur facility in Tamil Nadu is expected to start the new product introduction (NPI) process for these iPhone Pro models soon and move into mass production.
However, despite the local manufacturing, experts say that it is unlikely that the iPhone Pro models will see a significant price drop in India.