Tata said it is in talks to buy Wistron’s iPhone Assembly Plant in India

Tata Group is in talks with Taiwan’s Wistron to buy its manufacturing facility for up to Rs. 5,000 crore ($612.6 million), the Economic Times business daily reported on Wednesday, citing people familiar with the negotiations.

Neither salt-to-software conglomerate Tata nor Wistron – one of Apple’s top sellers in India – immediately responded to Reuters’ emailed requests for comment.

Back in September, Bloomberg reported that Tata was in talks with Wistron to set up an electronics manufacturing business in India with the aim of producing iPhones in the country. The company is reportedly looking to tap into Wistron’s expertise in product development, supply chain, and integration.

iPhone models are assembled in China and India by industry giants such as Wistron and Foxconn. The deal was expected to increase Wistron’s iPhone manufacturing capabilities in India by five times their current output, according to the report, which indicated that Tata could acquire part of Wistron’s non-smartphone manufacturing business. Tata has already entered the smartphone supply chain as it manufactures iPhone chassis components in south India.

Earlier this month, Apple’s Taiwanese contract manufacturer Pegatron reportedly started assembling the new iPhone 14 in India. Both Foxconn and Pegatron manufacture Apple’s latest 14-inch handset in India, the former of which began assembling the smartphone in September.

Pegatron’s decision to assemble the latest iPhone model in India comes after China imposed permanent controls and closures across the country, where most of Apple’s iPhones are manufactured, which has hampered economic growth and caused significant psychological and financial disruption to residents and companies. Last week, it was reported that Foxconn’s November shipments from China’s largest factory could be affected by 30 percent, after violent protests in which workers were beaten.