The government is exploring options to bring some of Apple's iPad production to the country from China, CNBC reported on Monday, citing two sources close to the Indian government.
Apple is holding ongoing discussions with
officials, according to the report.
The iPhone maker did not immediately
respond to a Reuters request for comment.
Last month, the Economic Times business
daily reported that the Tata Group was in talks to buy Wistron's only
manufacturing facility in India for up to Rs. 5,000 crore, citing people
familiar with the discussions.
Tata Electronics, a unit of
salt-to-software conglomerate Tata Group, already supplies components to Apple
from its Hosur unit in Tamil Nadu, which neighbours Karnataka, according to the
report.
India and other countries such as Mexico
and Vietnam are increasingly turning important to contract manufacturers
supplying to American brands amid COVID-related lockdowns in China and
simmering tensions between Washington and Beijing.
Bloomberg had reported in September that
Tata was in talks with Wistron to establish a joint venture to assemble iPhones
in India.
Currently, iPhones are assembled in India
by at least three of Apple's global suppliers – Wistron in Karnataka, as well
as Foxconn and Pegatron in Tamil Nadu.
In November, Apple's Taiwanese contract
manufacturer Pegatron reportedly began assembling the new iPhone 14 in India.
Both Foxconn and Pegatron produce Apple's latest iPhone 14 handset in India,
the former began assembling the smartphone in September.
Cupertino, California-headquartered Apple
has bet big on India since it began iPhone assembly in the country in 2017 via
Wistron and later with Foxconn, in line with the Indian government's push for
local manufacturing.
J.P.Morgan analysts estimate Apple may make
one out of four iPhones in India by 2025 as the tech giant moves some
production away from China, amid mounting geopolitical tensions and strict
COVID-19 lockdowns in the country. © Reuters