Foxconn recalls 300-odd Chinese staff from India iPhone plants
The exodus of engineers and technicians may hit Apple's iPhone 17 production goals for India even as Foxconn increases its investments in the country
Foxconn, Apple’s largest iPhone manufacturer, has recalled more than 300 Chinese technicians and engineers from its production units in India during the past two months, according to a report.
A report by Bloomberg said it is not clear what the reason is for the Chinese workers leaving Foxconn’s iPhone assembly plants in India. The sudden exodus of these workers could create operational problems for Apple as it attempts to increase the production of iPhone 17 in the country.
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There is speculation that this may be connected to the current struggle between China and the US over trade and tariffs.
Foxconn’s renewed investments
Foxconn has increased its investments in India during the past one year or so. The Taiwan-based company recently opened a new unit at Oragadam in Tamil Nadu, a move that indicates it is diversifying its suppliers in India.
The company invested $2.56 billion in its Devanahalli factory in Karnataka this year, and its objective is to manufacture one lakh iPhones by December. It is setting up dormitories to accommodate about 30,000 employees, mostly women.
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Foxconn exported iPhones worth about $3.2 billion from India during the period from March to May this year, almost all of it to the US.
Almost one in every five iPhones produced globally now comes out of India, with Apple reportedly planning to manufacture most of the iPhones meant for the US in India by the end of 2026.
Headwinds
However, Apple has a couple of hurdles to cross in trying to achieve its objectives in India.
US President Donald Trump has opposed Apple’s expansion efforts in India, and has even threatened to impose a 25 per cent tariff on iPhones imported into the US.
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And now with Chinese technicians leaving Foxconn’s plants in India, Apple’s expansion plans in the country could face some setbacks.