Apple will assemble AirPods in India in early 2025 to promote supply chain diversification
Apple plans to assemble AirPods in India for the first time in early 2025, marking a significant advancement in its supply chain diversification. A subsidiary of Foxconn will initiate production at a new factory in Telangana, with expectations to rapidly increase output. This move is supported by the Indian government's subsidy policies and improvements in technological capabilities, making AirPods the second major product assembled in India after the iPhone. Apple holds a 22% share of the global true wireless stereo device market, and India's position in its supply chain is continuously rising
According to Zhitong Finance APP, Apple (AAPL.US) plans to take a historic step in early next year by producing its iconic AirPods wireless earphones in India for the first time. This move marks an important milestone for the iPhone manufacturer in advancing market diversification and reducing reliance on China.
According to anonymous sources, a subsidiary of Foxconn Technology Group is expected to officially start the assembly of AirPods in a newly built factory near Hyderabad in Telangana, India, in the first quarter of next year. Currently, the factory has entered the trial production phase for AirPods and plans to rapidly increase production after formal operations begin.
With this initiative, AirPods will become the second major Apple product assembled in India, following the iPhone. Apple's decision to expand production in India is primarily attributed to the subsidy policies provided by Indian Prime Minister Narendra Modi, the increasingly skilled workforce in India, and significant improvements in technological capabilities. In the global political and economic landscape, India has become a core part of Apple's supply chain adjustment. If Donald Trump successfully wins re-election as President of the United States, it may further accelerate the relocation process of multinational companies like Apple to other regions.
As the world's largest manufacturer of true wireless stereo devices, Apple has performed exceptionally in this field. According to research firm Canalys, Apple's shipment of true wireless stereo devices reached 16.8 million units in the second quarter of this year, capturing 22% of the market share. Meanwhile, India's position in Apple's global supply chain is also continuously improving.
In the six months leading up to September, India's exports of Apple iPhones grew by one-third, totaling nearly $6 billion. Notably, last year, Jabil's India branch began supplying AirPods' shells (i.e., plastic bodies) to China and Vietnam, but the assembly of these wireless earphones is still primarily concentrated in China and Vietnam. It is expected that most of the AirPods assembled in India next year will be shipped to other international markets.
Foxconn and Apple's representatives in India have not responded to the above information