Pegatron Says It Will Start iPhone 14 Assembly in India During China Shift
Apple’s Taiwanese contract manufacturer Pegatron Corp has begun assembling the new iPhone 14 in India, Bloomberg News reported on Friday, citing people familiar with the matter. The report comes as ongoing restrictions and shutdowns across China, where most of Apple’s iPhones are manufactured, have slowed economic growth and taken a toll psychologically and financially on residents and companies.
Meanwhile, Foxconn, officially known as Hon Hai Precision Industry, began manufacturing the Apple iPhone 14 model in India in September, making Pegatron the second producer of the model in India, Bloomberg reported. reports added.
All of Apple’s major suppliers in Taiwan, Foxconn, Pegatron, and Wistron, have joined the iPhone assembly in India, encouraged by Prime Minister Narendra Modi’s stimulus package, Bloomberg said.
India and other countries such as Mexico and Vietnam are increasingly becoming important for contract manufacturers supplying American products amid the COVID-related shutdowns in China and heightened tensions between Washington and Beijing.
China on Wednesday ordered an industrial park in the city of Zhengzhou that houses Foxconn’s iPhone factory to go into a seven-day lockdown.
Earlier this week, market research firm TrendForce said it had cut its forecast for iPhone shipments in the fourth quarter by 2-3 million units, from 80 million previously, due to problems at the Zhengzhou factory, adding that its investigation into the situation had found that. The factory’s energy utilization rate was now close to 70 percent.
Pegatron declined to comment, and an Apple spokesman did not immediately respond to a Reuters query.
© Thomson Reuters 2022
