India,s iPhone exports reached a new record of Rs 10,000 crore
iPhone exports from India touched a record Rs 10,000 crore in May, increasing outside shipments of smartphones to the country to Rs 12,000 crore during the month, as per industry data. Indian officials hope to use Apple's deepening India engagement as an example to convince other US companies, such as Tesla, to shift their supply chains here, said government officials familiar with the matter.
In the first two months of this fiscal year (April and May), smartphone exports crossed Rs 20,000 crores ($2.4 billion), more than double the Rs 9,066 crore recorded in the same period last year, according to data from industry body India Cellular and Electronics Association. Apple is a member of the association.
iPhones constitute 80% of the smartphone exports from India, while the rest comprises the phones of Korea's Samsung and some local brands. The April-May iPhone exports underline the efforts of the Cupertino, US-based company to make India it's second home for iPhone manufacturing, said experts. In FY23, iPhone exports from India totaled $5 billion, making it the first single brand to achieve the feat.
Apple has been diversifying its supply chains out of China, with India increasingly emerging as a hub for iPhone production. The company is also exploring options to make AirPods here.
Prior to 2020, supply chains were almost entirely based out of China. But prompted by geopolitical tensions between Washington and Beijing and the launch of New Delhi's ambitious smartphone production-linked incentive (PLI) scheme, Apple is increasingly shifting its focus towards India.
During Prime Minister Narendra Modi's June 21-24 state visit to the US, the Indian delegation is expected to highlight the success story of Apple here to convince American companies such as Tesla to shift their supply chains to India. "The focus is to strengthen the supply chains," said one of the officials.
The focus areas would be semiconductors, electric vehicles and other critical emerging technologies, officials said. The Indian delegation has planned multiple industry engagements, especially with companies in critical emerging technologies and supply chains, officials said.
