Hon Hai Precision Industry, better known globally as Foxconn, the primary assembler of Apple’s iPhones, will invest US$1.5 billion (approximately Rs 12,800 crore) into its India unit in Tamil Nadu as part of a broader effort to shift production away from China.
The Taiwan-headquartered company announced in a stock exchange filing on Monday that the investment was being made through its Singapore-based subsidiary.
Foxconn is expanding production capacity and building new facilities in Tamil Nadu.
Apple is aiming to manufacture the majority of the iPhones it sells in the United States from India by the end of next year. The move has drawn criticism from former US President Donald Trump, who claimed last week that he had asked Apple CEO Tim Cook to halt the expansion of manufacturing in India.
Trump’s remarks underscore growing US political pressure on Apple and other tech giants to reduce reliance on China and bring production closer to home, especially amid ongoing trade tensions and tariff risks.
Currently, Apple produces the bulk of its iPhones in China and does not manufacture smartphones in the US, although it has pledged to increase domestic hiring and invest US$500 billion in the country over the next four years.
To hedge against geopolitical uncertainties, Foxconn is also scaling up its investments in the US.
In India, most iPhones are assembled at Foxconn’s factory in the Sriperumbudur factory near Chenna. Tata Group, which acquired Wistron’s Indian operations and manages Pegatron’s local business, is emerging as another major supplier.
In the 12 months to March, Apple assembled iPhones worth US$22 billion in India — a near 60 percent increase in production compared with the previous year.
