Indian Government 'Very Happy' to Help Apple Expand Local iPhone Assembly Base

by

A cabinet minister of the government of India has given the clearest signal yet that the republic is ready to help Apple expand its iPhone manufacturing base in the country and consider its requests for concessions.

Commerce and industry minister Suresh Prabhu was quoted on Sunday by the India Economic Times as saying the state was "very happy" to help Apple in its aims, provided the company makes a formal proposal.


"Let us get a good proposal from them...We will be very happy to receive Apple, one of the top brands in the world. We are willing to find out if there is any difficulty they may face. We will be more than happy to resolve that difficulty. So we will await a formal proposal," Prabhu told PTI in an interview.

Prabhu also reportedly said he was open to calling all state chief ministers who are willing to give Apple the best deal.

The comments come at an important time for Apple as it seeks to expand its manufacturing base in the country. The company has asked state officials for a range of tax and policy changes to help build out its iPhone assembly infrastructure in India, including duty exemptions on components, capital equipment, and consumables for all iPhone assembly and services/repairs for a period of 15 years.

Apple also wants the Indian government to relax rules that require 30 percent of products sold by foreign companies to be manufactured or produced within the country.

iPhone SE handsets have been assembled in India since May by Apple's Taiwanese supplier Wistron, which has reportedly been scouting for additional land in Bangalore to expand its existing facilities. Additionally, a report last week claimed the tentatively named iPhone SE 2 will be assembled exclusively by Wistron at its factories in India.

India recently overtook the U.S. to become the world's second largest smartphone market after China, according to market research conducted by industry analyst Canalys. However, Apple has so far struggled to make a significant dent, mainly because the government levies tariffs on devices manufactured outside the country, but also due to Chinese rivals such as Oppo and Xiaomi offering consumers more affordable high-spec smartphones.

Note: Due to the political nature of the discussion regarding this topic, the discussion thread is located in our Politics, Religion, Social Issues forum. All forum members and site visitors are welcome to read and follow the thread, but posting is limited to forum members with at least 100 posts.

Tag: India

Top Rated Comments

(View all)
Avatar
37 months ago

I respect India for strong arming Apple and forcing them to build a factory and produce the product there if they want to sell iPhones in that country

America could use a backbone

America chose to offshore low skilled labour. In return they were suppose to use the money saved on infrastructure, education, research and development etc..... instead we squandered billions on stupid wars.
Score: 4 Votes (Like | Disagree)
Avatar
37 months ago

America chose to offshore low skilled labour. In return they were suppose to use the money saved on infrastructure, education, research and development etc..... instead we squandered billions on stupid wars.

You are conflating the US Government and private industry into one giant entity. The government didn't chose to offshore low skilled labor. That was, and still is private industry. Private industry is not responsible for education or infrastructure in the US. That was, and still is the government. Stupid wars are a partnership between govt and private sector, but that has nothing to do with offshore manufacturing.
Score: 3 Votes (Like | Disagree)
Avatar
37 months ago
India is the Plan B in case China becomes too hostile under Xi.
Score: 3 Votes (Like | Disagree)
Avatar
37 months ago
It would be great if they can reach to the terms so as to allow manufacturing flagship iPhones. The current price is almost >150% of what it is in US. :(
Score: 1 Votes (Like | Disagree)
Avatar
37 months ago

Apple is only doing this so that they can sell those old refurbished iPhones in India. They might just have those assembly there enough to produce iPhone for India and drop the old junks in their country. :D

As your fellow contributor to the population of the world, your reaction ( :D ) seems rather odd. Why would you appreciate Apple dropping old junk in any country?
Score: 1 Votes (Like | Disagree)
Avatar
37 months ago

If you can go back to your original quote and come up with an explanation anywhere near your comment above, that would be amazing. Remember, my response introduced the aspect of private industry/companies. Your comment only mentioned the government as if it was responsible for everything you wrote. You wrote this:

There's no nuance in that quote. It's all conflated into one America that 1. offshored labor 2. didn't use the money saved from offshore labor on infrastructure, education, or R&D 3. spent money on war. So that I'm clear, my objection wasn't to your reasoning. My objection was to you trying to unify government, business, and if you hadn't forgotten, Wall Street into one entity.

My apologies. You are correct. I am much better having a discussion face to face rather than typing it out online. Especially while in a rush.
Score: 1 Votes (Like | Disagree)

Top Stories

Leaker: 'iPhone 12 mini' and iPhone 12 Storage Capacities Start at 64GB, Pro Models at 128GB

Tuesday September 29, 2020 2:31 am PDT by
Rumors suggest Apple's iPhone 12 launch event will be held on October 13, with the more affordable 5.4 and 6.1-inch devices set to ship out ahead of the more expensive 6.1-inch and 6.7-inch Pro devices, and this morning hit-and-miss leaker Jon Prosser has further committed to that date by providing alleged details on Apple's first shipment of finalized iPhone 12 units. Prosser claims the...

Hands-On With iOS 14.2's New Shazam Music Recognition Toggle in Control Center

Monday September 28, 2020 2:35 pm PDT by
Shortly after launching iOS 14, Apple introduced an upcoming iOS 14.2 update, which is now available to developers and public beta testers ahead of a public release that could come at some point in October. Subscribe to the MacRumors YouTube channel for more videos. The iOS 14.2 update mainly focuses on the Control Center, introducing a new Music Recognition toggle that deepens the Shazam...

Top Stories: iOS 14 Feature Tour, 'iPhone 12 mini' Rumors, Apple Watch Band Controversy

Saturday September 26, 2020 6:00 am PDT by
Things started to calm down a bit this week following last week's rush of media event, Apple Watch and iPad launches, and the release of iOS 14 and other operating updates. But that doesn't mean there wasn't still a lot of news, from digging deeper into iOS 14 to more iPhone 12 rumors to the uproar over trying to exchange band sizes on the new Apple Watch. On top of all of that, we heard...

DigiTimes: 12.9-inch Mini-LED iPad Pro Arriving Early 2021, Mini-LED MacBook Coming Later

Tuesday September 29, 2020 4:18 am PDT by
Apple will launch a 12.9-inch mini LED-backlit iPad Pro in early 2021 and a mini LED-backlit MacBook in the second-half of next year, according to DigiTimes. The Taiwan-based industry publication claims Epistar will supply the over-10,000 mini LEDs used in each iPad Pro tablet. Meanwhile, Apple is expected to recruit Osram Opto as another supplier of mini LEDs for use in a new "high-end"...

iPhone 12 May Launch Earlier Than Usual in South Korea

Monday September 28, 2020 5:24 am PDT by
The upcoming iPhone 12 lineup may launch earlier than usual in South Korea, reports The Korea Herald. South Korean telecoms firms speaking to The Korea Herald have said that the iPhone 12 lineup will launch ahead of its usual schedule. Normally, the release of new iPhones in South Korea comes about one month after launch in the United States. Last year, the iPhone 11 arrived in South Korea ...

iOS 14: 'Phoenix 2' Space Shooter Delivers Playable Demo via App Clips

Saturday September 26, 2020 2:08 pm PDT by
One of the new features that arrived in iOS 14 is called App Clips. App Clips is described by Apple to be a "small part of your app" that can be available to users at just the right moment.App Clips focus on finishing one task quickly. An ideal App Clip experience allows users to open and complete a task in seconds. Instead of requiring an App Store download, they can be loaded and run via...

Epic Games Unlikely to Win Injunction in Ongoing Fortnite Battle With Apple, Jury Trial Possible

Monday September 28, 2020 1:14 pm PDT by
The ongoing legal dispute between Apple and Epic Games continued on today, with a preliminary injunction hearing taking place this morning. We're still waiting to hear the judge's official ruling, but it looks like Epic is not going to be granted an injunction to allow Fortnite back into the App Store as the case unfolds. Many of the arguments that lawyers for Apple and Epic Games made were...

iPhone 12 Production Lines at Foxconn's Zhengzhou Factory in China Running '24 Hours a Day'

Tuesday September 29, 2020 3:38 am PDT by
Apple contract manufacturer Foxconn is running its massive Zhengzhou factory in China 24 hours a day to produce the new iPhone 12, according to Chinese media reports. Apple's main iPhone manufacturer in China is said to be cancelling workers' holidays and introducing mandatory overtime with additional bonuses for longer-serving staff, according to information garnered from employees,...

'iPhone 12 mini' Name Reappears in Leaked Apple iPhone 12 Case Stickers

Friday September 25, 2020 1:58 am PDT by
Earlier this week a proven leaker claimed that the iPhone 12 lineup would be named "iPhone 12 mini," "iPhone 12," "iPhone 12 Pro," and "iPhone 12 Pro Max," and today the same nomenclature has appeared again in a photo depicting alleged stickers from unreleased Silicone iPhone cases originating from Apple's international distribution center in Ireland. The photo shows three stickers with the...

Apple Releases iOS 14.0.1 With Fix for Bug That Resets Default Apps After Rebooting

Thursday September 24, 2020 10:12 am PDT by
Apple today released iOS 14.0.1, the first update to the iOS 14 operating system that was released on September 16. Today's update is a bug fix update addressing issues that weren't able to be fixed in the initial iOS 14 launch. The iOS 14.0.1 update is available on all eligible devices over-the-air in the Settings app. To access the new software, go to Settings > General > Software Update. ...