iPhone 12 Pro reviewSource: Daniel Bader / iMore

What you need to know

  • Apple is expanding production in India.
  • Pegatron is set to start making the iPhone 12 next month.
  • That will be followed by iPhone 13 production.

Apple's second-largest supplier, Pegatron, is to begin making the iPhone 12 in India next month, according to a new report this week.

According to The Economic Times:

Taiwan's Pegatron, Apple's second largest contract manufacturer, has set a target of producing goods worth more than Rs 8,000 crore in India in the next fiscal year starting April. The company plans to start local manufacturing next month, which will help deepen the iPhone maker's presence in the world's second largest smartphone market.

As the report notes Pegatron is the third Apple supplier to onshore manufacturing in India. Pegatron will "soon commence production and it has submitted its estimated production for the year with the government" according to a source cited in the report. Initially, it will make the iPhone 12, but this will be followed by production of Apple's best iPhone, the iPhone 13, at a new facility in Tamil Nadu. The company is reportedly set to employ some 6,000 people in the next financial year.

Pegatron is the latest company to take advantage of very favorable incentives to encourage manufacturing in the country. The report says that more than 70% of India's iPhones are now made locally. It has previously been reported that Apple saves some 22% on import tariffs as a result.

Apple is expected to open its first store in Mumbai, however, the project has been delayed by COVID, the company opened its online store in September 2020.

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