TAIPEI (Taiwan News) – The Foxconn Technology Group is expanding its operations in India with the manufacturing of the iPhone XR, while Apple Inc. was also planning to make the newer iPhone 11 in the South Asian country, reports said Wednesday (October 16).
At least one reason is the trade war between the United States and China, which could lead to more Foxconn products made in the communist country fall victim to tariffs, according to India’s Economic Times. Having India as an alternative production base to China makes good business sense, reports said.
Following weeks of trials at a Foxconn plant near the city of Chennai in the southeastern state of Tamil Nadu, commercial production has started of the iPhone XR, which will be exported to regions such as Europe. Over the past few months, Indian-made iPhone 6 and 7 models were already sold in the European market.
In addition to Foxconn, another major Taiwanese company, Wistron, has also been producing iPhones in India, but mainly older models, according to The Economic Times.
Even though local manufacturing of the iPhone XR will lead to the handsets being free of a 20-percent tax, their price will not be cut, the report said.