There are many problems in the assembly process of the iPhone in India, and the production line will be moved back to China

Body translation

In recent years, Apple has sought to diversify its supply to minimize the risk of problems with the supply chain. The most important strategy is to move some production orders to India, but this change faces many hurdles, especially with the iPhone 15. Product quality, defect rate as well as problems related to safety and hygiene at the factory make the output far less than expected.

In recent years, Apple has sought to diversify its supply sources to minimize the risk of supply chain problems. The most important strategy is to move some production orders to India, but this transition faces many obstacles, especially the iPhone 15. In some factories, product quality, yield, and safety-related issues resulted in production volumes that were much lower than expected.

According to some sources, the problem is so serious that Apple CEO Tim Cook personally has to go to China to make changes. CNMO, citing internal sources from the supply chain, said that the company began to adjust its strategy from the beginning of this year when it re-ramped up production activities in China. Besides Foxconn, the company has recently hired major partners for iPhone 16 production such as BYD and Luxshare Precision.

There is news that the problem is so serious that Apple CEO Tim Murphy. Cook had to travel to China himself to make changes. CNMO website, citing supply chain insiders, said the company began to adjust its strategy at the beginning of this year and resumed production activities in China. In addition to Foxconn, the company recently commissioned key partners such as BYD and Luxshare Precision to produce the iPhone 16.

Foxconn, Apple's major partner, started manufacturing the iPhone 15 series in India from August 2023. The goal is to shorten shipping times between India and China as well as synchronize supply chains between the world's two most populous countries. According to the original plan, the factory in India will operate in parallel with China, supplying the iPhone 15 series to the market in just a few weeks.

Apple's main partner, Foxconn, will start producing the iPhone 15 series in India in August 2023. The goal is to shorten shipping times between India and China and synchronize supply chains between the world's two most populous countries. According to the original plan, the India factory will operate in parallel with the Chinese factory, delivering the iPhone 15 series to the market in just a few weeks.

However, production activities did not go smoothly when factories here relied too much on components from China, affecting quality and efficiency. In addition, the ratio of output to expected capacity is low, only about 50% and safety and hygiene issues at the factory greatly affect export shipments to Europe. Many components such as iPhone cases are also said to be substandard, making Apple's expansion plans difficult.

However, because India's factories are too dependent on Chinese components, production activities have not been carried out smoothly, affecting product quality and production efficiency. In addition, the gap between production and expected production is large, only about 50%, and the health and safety issues of the factory have also greatly affected exports to Europe. Many components, such as iPhone cases, are also said to be substandard, making Apple's expansion plans extremely difficult.

In December 2022, Ming-chi Kuo, an analyst at TF International Securities, said Apple's long-term goal is to transfer 40-45% of iPhone production capacity to India. In fact, the number of iPhone 15 "Made in India" will only account for nearly 10% in 2023.

In December 2022, Ming-Chi Kuo, an analyst at Tianfeng International Securities, said that Apple's long-term goal is to transfer 40-45% of iPhone production capacity to India. In fact, the number of "Made in India" iPhones 15 in 2023 will only account for nearly 10%.

Apple executives are aware of the over-reliance on factories in China, but a stable workforce, high skills and a huge market are the reasons why the company is hesitant to leave. The difficulties faced in India further show that Apple's diversification of supplies outside of China is more difficult than the company could have planned.

Apple's leadership realized that it was too dependent on Chinese factories, and that a stable, highly skilled workforce and a huge market were reasons why the company was hesitant to leave China. The difficulties faced in India also suggest that Apple's search to diversify its supply outside of China is much more difficult than the company expected.