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Apple sees India as a core production hub in the next few years and is expanding its base in the country with the help of its vendors and local partners like the Tata Group. But the iPhone maker is gradually realising the magnitude of work needed to meet its quality standards.

According to sources quoted in a report by the Financial Times, the company is facing challenges in getting the components for iPhones in good shape.

The problem has been witnessed at the casings factory run by Tata where the components have yet to meet Apple’s high quality standards. The report claims the 50 percent yield in production does not satisfy Apple’s zero defects objective. In addition to these, Apple has been facing challenges related to logistics,tariffs and infrastructure as well.

Experts have mentioned that for companies like Apple to fully manufacture in India, even with the likes of Foxconn, the local supplier ecosystem along with the workforce need to be skilled to handle such applications. The company started the make in India iPhone journey in 2017 with the iPhone SE model. Fast-forward to 2023 and the company now makes the latest vanilla iPhone variants in India that are sold in the country.

But if India is expected to help manage the demand load for global markets via exports, the company would need more assistance from the government as well as the supporting cast, in this case the Tata Group. Apple also wants to gradually use the Indian base to make AirPods, iPad and even the MacBook in the next few years.

The company is also close to opening its first set of retail stores in the country, with the first one reported to be located in Mumbai and the next one likely to be in Delhi. Apple continues to be bullish about the Indian market, which has been reiterated by Tim Cook over the past few years. And if the company really wants to set a strong footing in the country, it would need to push the local manufacturing further.

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