Apple may manufacture iPads, MacBooks in India, but local components take priority

India wants Apple to expand its manufacturing push beyond iPhones. The government demands that the tech giant build a local component and supplier network in the country before expanding the manufacturing of finished Apple products like iPads and MacBooks.

According to a Moneycontrol report, India wants the locally manufactured components to be used for products made in India, such as iPhones and AirPods, and for export to Apple's other global manufacturing facilities in other countries. This way, India could become an important part of Apple's global supply chain.

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The government reportedly believes that once the local component ecosystem becomes stronger, Apple will be able to expand its manufacturing and assembly of other products, including MacBooks, iPads, and Apple Watches.

Indian suppliers are already making things such as PCB assemblies, mechanical parts and enclosures, housings, flexible PCB assemblies, conductive graphite buttons, wires, and packaging materials. However, some of these components are already being exported from India to China and Vietnam.

Moneycontrol also quoted a government spokesperson who said, “The expectation is that the entire product line should come to India. Some parts are already being made here. For instance, mechanics, including enclosures, are also being manufactured here for export. Yes, gradually, the manufacturing of final products will also start coming to India. That's the expectation.”

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The spokesperson also highlighted that the priority is to build a strong network of local suppliers and component manufacturers. However, it is not sure if Apple will start assembling these products in India anytime soon. The India expansion will depend on several factors such as growth in the Indian market, global sourcing strategy, and Apple’s plan to reduce its dependence on China.

Now, this may come as India lays the groundwork for Apple to eventually expand manufacturing beyond iPhones and AirPods.