Foxconn removes Chinese staff from Indian factories, will iPhone production be hit?

HIGHLIGHTS

Over 300 Chinese staff from Foxconn’s Indian iPhone plants have returned home.

The withdrawal may slow production efficiency and technology transfer in India.

Apple plans to increase India’s share in global iPhone output beyond 20% by 2026.

Foxconn removes Chinese staff from Indian factories, will iPhone production be hit?

Foxconn Technology Group, a Taiwanese multinational electronics contract manufacturer and Apple’s largest manufacturing partner has reportedly recalled hundreds of Chinese engineers and technicians from its iPhone factories in India. According to the Bloomberg report, this started roughly two months ago and over 300 Chinese staff have returned to their home.

However, the reason for Foxconn’s decision is unknown, but it follows Beijing’s recent efforts to limit the outflow of skilled labour, advanced manufacturing technology, and equipment to countries such as India and Vietnam. It appears to be in response to the ongoing shift of global technology manufacturing away from China.

Foxconn had already stationed experienced Chinese engineers in India to boost local production capacity and train employees. Their withdrawal is no longer expected to have an impact on iPhone product quality, but it may reduce assembly-line efficiency and slow technology transfer, according to the report.

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This comes at a time when Apple is facing challenges, particularly as it ramps up production of the upcoming iPhone 17 in India. Apple has already increased its efforts to expand manufacturing in India, establishing a new facility in Southern India. The country currently accounts for approximately 20% of global iPhone production, which will increase in the coming years.

The Indian government has been informed of the staff recall but has not been given any specific reasons. According to officials, iPhone production will continue as usual for the time being. This development highlights the geopolitical and operational complexities that Apple faces as it seeks to reduce its reliance on China. Tensions between the United States and China, ongoing export controls, and labour constraints all continue to shape the global technology manufacturing landscape.

For the unversed, Apple is said to introduce the iPhone 17 series in the global market in September. However, the dates are not confirmed at the moment.

Ashish Singh

Ashish Singh

Ashish Singh is the Chief Copy Editor at Digit. He's been wrangling tech jargon since 2020 (Times Internet, Jagran English '22). When not policing commas, he's likely fueling his gadget habit with coffee, strategising his next virtual race, or plotting a road trip to test the latest in-car tech. He speaks fluent Geek. View Full Profile

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