Apple Inc’s Taiwanese contract manufacturer Pegatron Corp has begun assembling the new iPhone 14 in India.
Apple Inc’s Taiwanese contract maker Pegatron Corp has begun assembling the new iPhone 14 in India, Bloomberg News reported Friday, citing people familiar with the matter.
The report comes as relentless controls and spot-lockdowns across China, where most of Apple’s iPhones are manufactured, have stunted economic growth and exacted a heavy psychological and financial toll on residents and businesses.
Meanwhile, Foxxconn, formally Hon Hai Precision Industry Co Ltd, began production of iPhone 14 in India in September, making Pegatron the second largest producer of the model in India, Bloomberg reported.
All of Apple’s largest Taiwanese suppliers, Foxconn, Pegatron and Wistron Corp, have ramped up iPhone assembly in India, boosted by Prime Minister Narendra Modi’s financial stimulus program, Bloomberg said.
India and other countries such as Mexico and Vietnam are becoming increasingly important for contract manufacturers supplying US brands amid COVID-related lockdowns in China and mounting tensions between Washington and Beijing.
China on Wednesday ordered an industrial park in the city of Zhengzhou, which houses a Foxconn iPhone factory, to be locked for seven days.
Earlier this week, market research firm TrendForce said it cut its forecast iPhone shipments for the fourth quarter by 2-3 million units, from 80 million earlier, due to problems at its Zhengzhou factory, adding that the investigation revealed the situation. that the factory utilization rate was now around 70%.
Pegatron declined to comment, while an Apple spokesperson did not immediately respond to a question from Reuters.