Apple iPhone X to be produced at Foxconn in India

On April 2, Bloomberg News quoted people familiar with the matter as saying that Foxconn will start trial production of iPhone X phones in India in the next few weeks. Foxconn has already conducted trial assembly of iPhone X series phones in the past few weeks to ensure that the formal assembly process can proceed smoothly. It is worth noting that in addition to Foxconn, Wistron has already produced older models such as iPhone 6s, iPhone SE and iPhone 7 in its Bangalore factory.

Sources revealed that Foxconn's Indian assembly line will supply the local and export markets when Apple announces the next generation of iPhone models in September. These people pointed out that Hon Hai will initially invest about US$300 million in Apple and increase investment as production capacity expands.

Foxconn currently has two assembly plants in the southern Indian states of Andhra Pradesh and Tamil Nadu, producing devices for Xiaomi and Nokia.

Apple currently has only about 1% of the smartphone market in India, mainly because the high price of iPhones has deterred Indian consumers. If Apple chooses to produce iPhones in India, it will hopefully help Apple avoid the 20% tariff and meet the 30% local procurement regulations, so that Apple can be allowed to open its own retail stores in India.

Last year, Indian consumers bought more than 140 million smartphones, while Apple sold only 1.7 million in the market. This shows that Indian consumers prefer models with lower prices and better performance. Xiaomi can be said to have become well-known in India. The Redmi Note 7, which is priced at 9,999 rupees (about 143 U.S. dollars), was well received by consumers after its launch, and its price is only one-tenth of that of an iPhone.

In the first quarter of this year, Apple's smartphone shipments in the Indian market may decline by about 50% year-on-year, so Apple needs to find a solution in the Indian market as soon as possible. Neil Shah, research director of market research firm Counterpoint Research, said: "With its declining market share in China, Apple now needs to expand its business to India. Apple no longer wants to put all its eggs in one basket."

In December last year, it was reported that Foxconn's Indian factory would produce high-end iPhone phones in India as early as 2019. This would be the first time Foxconn assembled iPhones for Apple in India.

According to current news, it is true that Foxconn will produce iPhone X series phones in India. This move may help Apple effectively improve its business in India.