New Delhi: Hon Hai Precision Industry Co., better known as Hon Hai Technology Group or Foxconn Technology Group, which is the primary assembler of iPhones, has committed $1.5 billion to its Indian operations as the tech giant deepens its manufacturing pivot away from China.
This investment, routed through Hon Hai’s Singapore-based subsidiary, was disclosed in a stock exchange filing earlier this week.
India has rapidly emerged as a crucial hub in Apple’s supply chain. In the fiscal year ending March 2025, Apple exported iPhones worth over Rs 1.5 trillion ($17.4 billion) from India, according to Minister for Electronics and IT Ashwini Vaishnaw.
This represents a major leap from the previous year, when Apple assembled $22 billion worth of iPhones in India, nearly 60 per cent more than the year before.
This capital infusion will support the Taiwanese company’s ongoing expansion in southern India, where it is building new facilities and scaling up production capacity.
Though Hon Hai has not shared further details, the move aligns with Apple’s broader push to reduce reliance on China amid rising geopolitical and tariff-related risks.
Apple plans to manufacture the majority of iPhones sold in the US from India by the end of 2025, a strategy that has drawn criticism from former US President Donald Trump.
Last week, Trump claimed he had urged Apple CEO Tim Cook to halt plant construction in India and prioritise domestic manufacturing. While Apple has promised to invest $500 billion in the US and expand hiring, it currently lacks smartphone production capabilities within the country.
It should bd noted that Foxconn’s plants in Tamil Nadu, Karnataka, and Telangana have become the core of Apple’s local production network. Other key players, like Tata Group, which has acquired Wistron’s Indian unit and oversees Pegatron’s operations, have also strengthened their role in Apple’s India strategy.
The shift to India was largely catalysed by disruptions in China during the COVID-19 pandemic and mounting US-China trade tensions. While India and Southeast Asia are becoming vital alternatives for Apple’s manufacturing footprint, analysts say a full transition away from China remains unlikely in the near term.
Still, the $1.5 billion investment signals Hon Hai’s strong commitment to India as a long-term production base, reinforcing the country’s growing role in global electronics manufacturing.
Discussion about this post