Foxconn Invests Rs 125 Bn to Expand India Operations

22 May 2025 CW Team

Hon Hai Precision Industry Co., better known as Foxconn and the main assembler of Apple’s iPhones, is strengthening its footprint in India with a fresh investment of USD 1.5 billion (around Rs 125 billion) into its local subsidiary. The funding, channelled through Foxconn’s Singapore-based arm, was disclosed in a regulatory filing and is set to fast-track the company’s manufacturing expansion in southern India.

This strategic move is part of Apple’s ongoing effort to diversify its global supply chain and reduce its dependence on China, amid rising trade tensions and tariff threats between the US and China. Industry sources indicate that Apple plans to shift a significant portion of iPhone production for the US market to India, potentially making India the primary export hub by the end of next year.

The development has drawn criticism from former US President Donald Trump, who recently commented that he had asked Apple CEO Tim Cook “to stop building plants there,” in reference to his push to bring manufacturing and jobs back to the US.

Despite such objections, Apple’s manufacturing transition is progressing steadily. In the 12 months ending March, Apple assembled iPhones worth USD 22 billion (approximately Rs 1.83 trillion) in India—a nearly 60 per cent rise from the previous year. Much of this production takes place at Foxconn’s large facility in southern India, complemented by Tata Group’s electronics arm and Pegatron’s local operations.

Foxconn is also expanding its operations in the US to manage geopolitical risks, while Apple has pledged to invest USD 500 billion in the US over four years and increase domestic hiring. However, Apple currently does not manufacture any smartphones in the United States.

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