Tata’s Rs 6,000 Crore iPhone Plant in Hosur Set to Begin Operations in November

Tata Electronics’ iPhone manufacturing plant in Hosur, Tamil Nadu, is slated to commence production in November 2024, according to a report by Business Standard. The 250-acre facility marks Apple’s fourth iPhone assembly plant in India and Tata Electronics’ second unit dedicated to producing the tech giant’s flagship smartphones.

Sources close to the development revealed that “preparations are in full swing” at the Hosur facility. They added that the enclosures produced at Tata Electronics’ components factory, established in 2021, are already being utilized in some iPhone models manufactured in India and exported to China.

The facility is expected to employ 50,000 blue-collar workers, with a significant majority being women. In terms of staff strength, the Hosur plant would be second only to Foxconn’s Apple iPhone facility in Tamil Nadu, the report stated.

“Equipment and production lines are being stress-tested to meet the high demand expected at this new facility,” sources informed Business Standard. However, both Apple and Tata Electronics declined to comment on the matter.

Boosting Apple’s Production in India

Earlier this year, a report from Bloomberg highlighted that the Hosur facility aligns with Apple Inc.’s broader strategy to expand its manufacturing footprint in India. The Bloomberg report noted that the plant is projected to accommodate around 20 assembly lines and aims to employ approximately 50,000 workers within the next two years. The facility is anticipated to become fully operational within 12 to 18 months.

Strengthening Apple’s Local Supply Chain

The establishment of the new plant is a significant step in Apple’s ongoing efforts to localize its supply chain and strengthen its partnership with Tata. Tata Electronics already oversees an iPhone manufacturing unit acquired from Wistron Corporation in Karnataka.

This strategic shift is part of Apple’s larger goal to diversify its manufacturing operations beyond China by building partnerships in India, Thailand, Malaysia, and other regions. According to a Wall Street Journal report dated December 7, Apple and its suppliers aim to manufacture over 50 million iPhones annually in India over the next two to three years, with plans to increase production significantly thereafter.

Tata has been proactive in expanding its collaboration with the Silicon Valley giant, extending its operations beyond traditional sectors such as salt and software. The group has ramped up employment at its existing Hosur facility, focusing on the production of iPhone enclosures. Additionally, Tata has outlined plans to launch 100 retail outlets dedicated to Apple products across India. Concurrently, Apple has opened two flagship stores in the country, with plans for three more in the pipeline.

Both Apple and Tata Electronics have not responded to queries regarding the latest developments at the Hosur facility.

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