Apple’s strategic discussions with Bharat Forge signal another significant step in its efforts to strengthen its manufacturing footprint in India. This move aligns with the company’s objective of reducing dependency on China and expanding its local supplier ecosystem.

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Key Developments in the Partnership

1. Potential Collaboration with Bharat Forge
   • Apple is negotiating with Bharat Forge, a leading Pune-based manufacturer, to join its supply chain.
   • If finalized, Bharat Forge will supply mechanical components for Apple’s products, marking another milestone in India’s growing role in Apple’s global supply network.
2. Growing Local Supplier Ecosystem
   • Bharat Forge would join an impressive roster of Indian suppliers, including:
     • Tata Group
     • Motherson Group
     • Aequs
   • These collaborations underline Apple’s commitment to developing a robust local manufacturing ecosystem.
3. Strengthening Manufacturing Presence in India
   • Apple has been actively onboarding Indian suppliers to enhance local value addition and reduce global supply chain risks.
   • Since the Production Linked Incentive (PLI) scheme launch in 2020, Apple’s local value addition for iPhones has risen from 5-8% to 20% by 2024.

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Apple’s Manufacturing Ecosystem in India

Supplier	Role in Supply Chain	Key Components Produced
Foxconn	iPhone assembly	iPhone units
Tata Group	Enclosures and other parts	Various components
Sunwoda	Battery packs	Power solutions
Foxlink	Cables	Wiring and accessories
Aequs	Enclosures	Device bodies
Salcomp	Power packs	Charging solutions
Bharat Forge	(In talks) Mechanical parts	To be finalized

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Achievements and Future Outlook

1. Production and Export Milestones
   • In 2024, Apple’s iPhone production in India reached a staggering $17.5 billion.
   • Exports also hit a record high of $12.8 billion, reflecting India’s growing significance in Apple’s supply chain.
2. Future Collaborations
   • Industry experts anticipate Apple will continue to onboard additional local suppliers, further complementing existing manufacturing units and expanding its value addition.

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Apple’s Long-Term Vision

Apple’s partnership talks with Bharat Forge reinforce its long-term vision to solidify India as a key player in its global manufacturing strategy. By leveraging India’s PLI scheme and tapping into the capabilities of local suppliers, Apple is not only reducing dependency on a single geography but also contributing to the growth of India’s manufacturing sector.

This collaboration is yet another step in Apple’s journey to build a resilient, diversified, and sustainable supply chain.