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Foxconn builds $1.5bn plant in India 

by on23 May 2025


Apple's iPhone supply chain shifts further from China to Chennai

The Fruity Cargo Cult Apple is moving more of its iPhone supply chain into India, with its long-time partner Foxconn dropping $1.5 billion on a new display module plant near Chennai. 

Two Indian officials told the Financial Times that the Taiwanese assembler will build the new facility in Tamil Nadu, adding to its already significant presence near Chennai. This marks another major shift by Job’s Mob away from China, which despite everything, remains its largest manufacturing base.

The migration had been quietly bubbling since before the pandemic kneecapped global supply chains. But it’s picked up speed amid Washington’s protectionist barkings, with  President Donald Trump now demanding Apple drop its India plans.

“We are not interested in you building in India,” the president snapped using the royal "we" and  accusing Tim Cook’s crew of disloyalty to his royal personage.

Foxconn filed notice of the $1.5 billion investment with the London Stock Exchange confirming it would funnel the cash through its Indian unit, Yuzhan Technology India. Tamil Nadu’s state government had already rubber-stamped the deal back in October 2024, with a price tag of Rs131.8 billion (€1.42 billion).

The new display module plant is going into the ESR Oragadam Industrial & Logistics Park,close to the existing iPhone plant. 

Unnamed officials said the new factory will serve Job’s Mob and is expected to create about 14,000 Indian jobs. The investment is one of the largest India has seen in its electronics sector and is another win for Modi’s “Make in India” push, which keeps churning out incentives like confetti at a political rally.

Job’s Mob reportedly plans to source all 60 million US-sold iPhones from India by the end of 2025. The country already handled 18 per cent of iPhone production in 2024, a number that should hit 32 per cent next year, according to Counterpoint Research.

Foxconn and Job’s Mob are both tight-lipped for now, though it’s unlikely Trump’s shouting will do much beyond echo through Mar-a-Lago. India, meanwhile, has become the world’s second-largest smartphone market by volume and is more than happy to be the new assembly line for Cupertino’s ambitions.

Last modified on 23 May 2025
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