‘Goodbye to China’: Apple shifts major iPhone production to India over 3 years – Apple (NASDAQ: AAPL)
Apple company AAPL It may start manufacturing one in four iPhones in India by 2025, JP Morgan It is striving to move some production away from China amid rising geopolitical tensions and strict COVID-19 lockdowns in the country, analysts said.
JP Morgan had a $200 plus price target on Apple. Apple expects to move 5% of iPhone 14 production from late 2022 to India, the second-largest smartphone market after China, Reuters reports.
JPMorgan expects 25% of all Apple products, including Mac, iPad, Apple Watch and AirPods, to be manufactured outside of China by 2025 from 5% currently.
“Taiwanese vendors such as Hon Hai and Pegatron play a major role in the move to India. In the medium to long term, we also expect Apple to qualify local manufacturing suppliers in India,” the report quoted JPMorgan analysts as saying.
Apple aims to manufacture the iPhone 14 in India two months after the initial release of the product to cut the delay in production of the new iPhone from six to nine months for the previous versions.
India has significantly improved the difference in terms of iPhone manufacturing with China, and the countries will manufacture “the next iPhone 15 simultaneously”, according to an analyst.
India’s Tata Group is reported to be in talks with Taiwan Westron Company To set up an electronics manufacturing joint venture in India to assemble iPhones there.
Bank of America Tracking iPhone shipping dates refers to extended shipping dates for iPhone 14 Pro models against last year’s pre-order cycle.
Among the regions, shipping dates are most elongated in China, which kept iPhone prices the same, expecting growth to offset ASP pressure from price and foreign exchange.
price movement: AAPL shares traded 0.04% higher at $156.97 at the latest check on Wednesday.
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