Foxconn Begins Airpods Production in Hyderabad; IPhones Plant Coming Soon

Apple is ramping up production activities in India as part of a broader shift in production policy. Apple's long-time manufacturing partner Foxconn has begun official production of Apple AirPods at its new Hyderabad facility, according to a new report. The move is significant as Apple continues to diversify its supply chain and reduce dependence on China.

The Hyderabad facility is just a part of Foxconn's overall investment strategy in India, under which the Taiwanese tech firm is investing $400 million in setting up and expanding its manufacturing base. Although Foxconn is setting up and expanding its Hyderabad base primarily to assemble AirPods, it has already started constructing a much larger facility in Bengaluru to aid in iPhone production.

A spokesperson confirmed, “Yes, Apple AirPods production at Foxconn’s new Hyderabad facility has started for export purposes. The new Bengaluru facility will also soon start operations for iPhone production and will play a key role in ramping up exports from India. The new plant will have a peak capacity of 20 million units per annum.”

Apple's plan to move more of its production into India occurs at a time when tariffs on Chinese imports are increasing, which is a result of the new U.S.-China trade policy. With tariffs on certain Chinese products being over 100 percent and new restrictions on made-in-China products in consideration, the move seems to be part of a grand plan to ensure supply chain stability.

India is rapidly becoming an Apple manufacturing base due to the nation's enhanced infrastructure and trade policy support, including the "Make in India" policy. Apple has already assembled the iPhone 12, iPhone 13, iPhone 14, and iPhone 15 (partially) in India with partners Foxconn, Pegatron, and Wistron. By including AirPods in the list of products being produced in the nation, Apple is sure to show a greater investment in manufacturing.