Apple announced last month that it would begin manufacturing some of its latest iPhone 14 series models in India. This move is seen as a significant step in the company''s effort to diversify manufacturing outside of China due to rising geo-political tensions. Last week, Apple was also reportedly requesting its suppliers to relocate some of the AirPods and Beats headphone purchases to India. In a series of tweets, Apple spoke out against China''s reliance on the company.
In a tweet, Apple analyst Ming-Chi Kuo revealed some of the key findings from a recent supply chain survey, presenting the Cupertino-tech giant''s supply chain management strategy as a response to the current de-globalization trend. According to tweets, the strategy will include transferring a significant portion of iPhone production to India, along with transferring a percentile of MacBook production and assembly to Thailand.
In response to the de-globalization trend,Apple''s global supply chain strategy continues to evolve. Mostly, it''s primarily to reduce the assembly industry in China. Here are the most recent important survey updates.
Kuo has mentioned that Apple intends to partner with Tata Group to facilitate the development of Pegatron or Wistron in the near future. Nearly 80 percent of the iPhones made in India in partnership with Foxconn meet domestic demand.
Apple is also planning to shift its MacBook production to a non-China production facility, with Thailand being considered as the potential assembly arena. Kuo goes on to describe the timeline of the Cupertino-based company''s gradual departure plan from China, with a five-year target slated for the next three to five years to exceed global shipments and 100 percent of US shipments.
The long-term goal for Apple is to transfer all non-Chinese market fulfilment requirements for the iPhone and MacBook to assembly sites located outside China, while the requirement for Chinese market will continue to be fulfilled by assembly sites within the country.
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The analyst earlier revealed that the demand for iPhone 14 Pro and iPhone 14 Pro Max had increased rapidly, resulting in the Cupertino-based phone manufacturer to push Foxconn, a production partner, to increase the production of the both Pro models.