Foxconn to Manufacture iPhone 16 Pro and Pro Max in India, Costs to Fall 10%

Foxconn to Manufacture iPhone 16 Pro and Pro Max in India, Costs to Fall 10%
Foxconn begins iPhone 16 Pro, Pro Max production in India, cutting costs by 10%. Local assembly may not impact retail prices due to taxes. India aims to expand its share in global iPhone production.

Apple Inc. is taking a significant step in diversifying its production by starting the assembly of its premium models, the iPhone 16 Pro and Pro Max, in India. This development comes a year after the successful introduction of India-made iPhone 15 models. The move is expected to decrease production costs by 10%, but the retail prices in India might not change due to taxes and component costs.

India to Witness First Assembly of Premium iPhones Outside China

This is the first instance where the high-end iPhone 16 Pro and Pro Max models will be assembled outside of China. This strategic move is part of Apple’s plan to reduce its dependence on China amidst ongoing geopolitical tensions.

Apple’s Production Expansion in India with Foxconn

Apple has already been assembling iPhones in India, but this new development represents a major expansion of its manufacturing operations in the country. Foxconn, a key Apple manufacturing partner, is preparing to produce the iPhone 16 Pro and Pro Max at its facility in Tamil Nadu. Thousands of workers are being trained to meet Apple’s stringent quality standards.

Besides Foxconn, other Apple partners in India, including Pegatron and the Tata Group, will also contribute to the assembly of these smartphone devices. Production is anticipated to start soon after the global launch of the iPhone 16 series, rumored to be on September 10.

Production Costs of iPhone 16 Expected to Drop                          

Local manufacturing is expected to lead to a significant reduction in the production cost of the iPhone 16 Pro and Pro Max in India. Currently, these models attract high import duties, making them considerably more expensive. By assembling them locally, Apple could cut costs by up to 10%. However, high component costs and local taxes may mean Indian consumers still pay more than those in other regions.

India-Made iPhones to be Exported

While assembled locally, most of the iPhone 16 Pro and Pro Max units produced in India will be exported to markets like Europe, the West Asia, and the United States. This is due to the relatively lower domestic demand for these premium models in India. This expansion in India is projected to increase the country’s share of global iPhone production from 14 to 25 per cent by next year.

iPhone 16 Series: Anticipated New Features

Leaked information suggests that the iPhone 16 series will bring several design upgrades and new features. The Pro models are expected to sport a glossy titanium finish for better scratch resistance and a premium look. They will also have larger displays — 6.3 inches for the iPhone 16 Pro and 6.9 inches for the Pro Max — with slimmer bezels.

The iPhone 16 series will be powered by the latest A18 Bionic and A18 Pro processors, promising faster performance and improved energy efficiency. All models will run on iOS 18, which is expected to introduce advanced AI capabilities, including enhanced Siri functionalities and new text tools.

The official unveiling of the iPhone 16 series is anticipated on September 10 at the Steve Jobs Theatre, with the event reportedly themed ‘Ready. Set. Capture.’

About the author

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Lakshmi Narayanan

Lakshmi, with a BA in Mass Communication from Delhi University and over 8 years of experience, explores the societal impacts of tech. Her thought-provoking articles have been featured in major academic and popular media outlets. Her articles often explore the broader implications of tech advancements on society and culture.

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