China trying to halt iPhone 17 production in India? Foxconn asks hundreds of Chinese engineers, technicians working in Indian factories to return home due to…
Foxconn, a Chinese company that puts together iPhones for Apple in India, has told hundreds of its Chinese engineers and technicians to leave India and head back to China. More than 300 have already gone, and only a few Taiwanese support workers are still on site. No official reason has been given, but people familiar with the matter think China's government is tightening rules on sending technology and factory equipment abroad. Beijing may want to slow down the shift of manufacturing from China to other countries such as India.
The timing matters because India now makes nearly 20 percent of all iPhones worldwide. Foxconn recently put about USD 2.56 billion into a new plant near Bengaluru and hopes to assemble 100,000 iPhones there by December. Between March and May alone, Foxconn shipped iPhones worth USD 3.2 billion from India, with almost all of them going to the United States.
Some sources told The Times of India that China has also advised certain citizens to leave India because trade tensions are rising and visas for Chinese executives are getting harder to secure. Impact on iPhone manufacturing in India
The exit of Chinese workers from Foxconn's Indian factories is expected to slow things down a bit. According to reports, this move could delay the training of Indian workers and slow the transfer of technical know-how, which may lead to higher production costs.
However, according to reports, while the quality of iPhone production in India will not be affected, the speed and efficiency on the assembly lines could take a hit for now.
Foxconn has reportedly informed the Indian government about the withdrawal. So far, officials have not noticed any major impact on production.
Apple CEO Tim Cook has often praised the skills of Chinese factory workers, saying their expertise not just low wages is why Apple relied so heavily on China in the past. The loss of that experienced workforce in India could make it harder to reach the same level of efficiency in the short term. Why are the Chinese staff so important?
Even though Chinese workers make up less than 1 per cent of Foxconn's workforce in India, they play very important roles. They're not just regular workers, but the ones managing key parts of the operation like running production lines, checking product quality, and handling factory automation.
A source told The Times of India that the Chinese government's move to recall its citizens from India could disrupt Foxconn's production timelines. 'Their numbers may be small, but they're essential for smooth daily operations especially during the tricky phase when production scales up and quality checks are the most demanding,' the person said.
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