Apple Airpods / China's ploy will fail when Apple will be Made in India

iPhone maker Apple will start producing AirPods for export at its Foxconn plant in Hyderabad from April. This will be the second product line in India after iPhone. Foxconn has invested $400 million in 2023. Apple's TWS market share in 2024 is 23.1%.

Apple Airpods: World's leading tech company Apple is going to take another important step towards its production expansion. From April 2025, the company plans to start production of AirPods for export at the Foxconn plant in Hyderabad, India. This will be the second major product after iPhone that Apple will manufacture in India.

Foxconn's investment and production process

An industry source has confirmed that the manufacturing of AirPods will start at Foxconn's production facility in Hyderabad. The move is part of Apple's global supply chain strategy, reducing its dependence on China. It is worth noting that Foxconn invested $400 million (about Rs 3,500 crore) to build this plant in August 2023.

Global market share of AirPods

Apple is already a leading brand in the True Wireless Stereo (TWS) segment. According to research firm Canalys, the company's global market share in 2024 was 23.1%, which is three times more than its closest rival Samsung (8.5%). Starting production in the Indian market will help Apple increase its export potential and control costs.

Importance of production in India

There are several major reasons behind increasing the production of AirPods in India. While on the one hand it will boost local production, on the other hand the impact of the new tariffs being imposed by the US can also affect Apple's strategy. Recently, US President Donald Trump has proposed to impose additional duties on many countries including India. To avoid this, Apple is planning to set up a large part of its production in the US and has announced to invest $ 500 billion there in the next four years.

Import duty and industry response

According to the India Cellular and Electronics Association (ICEA), hearables and wearables devices are charged 20% import duty in India, while the duty is zero in the US. ICEA has demanded the government to reduce this import duty to make the Indian market more competitive.

Conclusion

This decision of Apple can prove to be a big boost for the Indian electronics manufacturing sector. It will not only create new employment opportunities but will also help in establishing India as a hub of global electronics manufacturing. If the government reconsiders the import duty, it can also benefit the local market.

At the moment, there has been no official comment on the subject by Apple and Foxconn, but this initiative can prove to be an important milestone for India's electronics industry.