Apple has asked its suppliers to start producing some of its AirPods and Beats earbuds in India starting next year, according to a Nikkei Asia report released on Wednesday.
The talks mark the company’s latest attempt to lessen the threat of supply chain disruptions in China due to Covid lockdowns and emerging industry tensions between the U. S. and China. Apple is reportedly in talks in August to move some of its Apple Watches, MacBook and HomePods to Vietnam. , and announced in September that it would assemble some of its flagship iPhone 14 phones in India.
Apple still relies heavily on China for most iPhone production.
Foxconn, one of Apple’s production partners, will manufacture the Beats headphones in India and will try to produce AirPods there in the future, according to the report. Luxshare Precision Industry, which makes Apple’s AirPods in Vietnam and China, will also make a contribution to the AirPods. production efforts in India.
Apple is looking to boost sales in India, the world’s second-largest smartphone market. And while the company’s shift to production in India was primarily aimed at boosting sales, it now treats the country more as a strategic production base, according to the report.
India will try to attract new investment by spending more than $30 billion on its e-supply chain, Nikkei Asia said.
An Apple representative did not respond to a request for comment.
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