What you need to know
- Apple is investing in its manufacturing base in India.
- There were even rumors Apple might try to export some made-in-India goods abroad.
- A government minister says there is no specific plan to make this happen at this time.
India's Commerce and Industry minister Piyush Goyal has told parliament that there are no specific plans to turn India into an export hub for Apple.
Commerce and industry minister Piyush Goyal on Wednesday informed Parliament that no specific proposal has been made to bring the Cupertino-based tech giant Apple into the country and to make India as the export hub of Apple made products.
Goyal said that the Project Development Cells (PDC) of the relevant government departments said no such conversations had taken place, and that no specific proposal had been made.
Apple has invested heavily in manufacturing in India, and its major manufacturing partners are now operational in the country. Apple even started making the iPhone 11 in the country, the first time a flagship iPhone has been manufactured anywhere outside of China.
Indian manufacturing is mostly aimed at dodging heavy import duties in the country, whilst taking advantage of government incentives. From the earlier report:
Apple has pushed its manufacturing in the country very strongly in 2020 for a couple of reasons. COVID-19 highlighted just how reliant Apple's supply chain was on China and East Asia for its products, revealing a strong need to diversify. Furthermore, goods not made in India are subject to very heavy import taxes. By making the iPhones it sells in India in that country, Apple saves around 22% on import duties. Not only that, but the Indian government is also offering enticing incentives to phone makers and manufacturers to onshore their business in India, paying companies as much as 6% in bonuses.
Whilst no specific proposals remain, there are murmurs Apple may eventually look to export products made in India beyond its shores.
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