
A very big and historic movement is currently being seen in the global tech market and India’s manufacturing sector. India’s most prestigious and trusted industrial house Tata Group is working on an aggressive strategy to increase its stake manifold in the global business of the world’s largest tech company Apple. Tata Group, which has already made a strong presence in the iPhone casing assembly, is now rapidly expanding its presence in the manufacturing of enclosures and various high-tech components for Apple’s iPhone. This big step by Tata is not only giving a new impetus to Apple’s ‘China Plus One’ strategy, but is also proving to be a revolutionary turn towards making India the new electronics manufacturing hub of the world.
Tata Electronics entered Apple’s supply chain a few years ago, when the company set up a plant to make iPhone casings in Hosur, Tamil Nadu. After this, Tata acquired the Indian business of Wistron and also took over the command of iPhone assembly domestically. However, the Tata Group does not aim to be limited to just assembly. The company is now expanding its capacity to manufacture high-precision metal enclosures, mechanical parts and other complex components for the iPhone. The enclosure is the outer structure or body that protects all the sensitive chips, batteries, and motherboard inside the iPhone. It requires Apple’s extremely stringent standards and state-of-the-art CNC machines, which Tata is now manufacturing on a large scale in India.
Apple has been trying to shift its global production out of China in the last few years due to increasing trade tensions with China, strict Covid policies and geopolitical uncertainties. India is getting the biggest benefit from this situation. Apple is shifting a major part of its total global iPhone production to India and in this entire process, Tata Group has emerged as its most prominent and strong partner. Tata is investing huge capital in its manufacturing plants located in Tamil Nadu and Karnataka. Along with the deployment of state-of-the-art machines in these plants, thousands of skilled employees are being trained as per Apple’s stringent quality standards.
The country’s economy and employment market are directly benefiting from this deepening industrial relationship between Tata Group and Apple. The expansion of iPhone components and enclosure manufacturing is creating thousands of new direct and indirect employment opportunities in Tamil Nadu and surrounding areas. Especially the women workforce is being given opportunities on a large scale in the field of electronics assembly and precision engineering. The Production Linked Incentive (PLI) Scheme of the Government of India has also acted as a catalyst in this direction. This is not only saving foreign exchange, but India is also registering a record growth in exports of high quality electronics products.
This growing scope of Tata along with a global company with strict quality standards like Apple proves that the Indian industry is now ready to face any global challenge. The vision of Tata Electronics is not only to supply components to Apple, but also to have a strong hold in the field of semiconductor and chip packaging in the coming times. As Tata Group increases domestic manufacturing of iPhone enclosures and other complex parts, the overall production cost of iPhone in India will also be positively impacted. In the coming years, this joint journey of Tata and Apple will establish India as the backbone of the world’s leading tech supply chain.
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