11 ms·

I wonder what the value add in India is.

by aatharuv 3y ago

rozenmd 3y ago
Aren't they legally obliged to build product there if they want to sell it in India?
- cuteboy19 3y ago
  They would have import tariffs slapped on them, as with any other country. It's just that the tariffs are high
fauxpause_ 3y ago
It’s not China
jutrewag 3y ago
Cheaper, large workforce, not China, large consumer base.
aatharuv 3y ago
Downvotes for that? Okay, let me rephrase that. How much value is added to the phones in India?
- jutrewag 3y ago
  With manufacturing, almost all of it.
  - aatharuv 3y ago
    My understanding is that from the article, assembly was being done, not complete manufacturing. Which means that many of the components are imported components that are being assembled. Parts from one country may get transported to another country to be built into a component, and returned to the original country for further assembly. So it would be interesting to learn what the value of the individual components imported in is, and how much value is added by Indian made components and during India assembly and by Foxconn and Wistron. https://www.cnn.com/2023/02/10/tech/india-apple-iphone-manufacturing-china-rival-intl-hnk/index.html https://www.cnn.com/2023/02/10/tech/india-apple-iphone-manuf... Assembly is fine to start out with, but to bring more of the value add, one would need to build out an entire ecosystem of factories building the components.
- akmittal 3y ago
  As of now not much. But existing apple suppliers(mostly Chinese) are in process of setting up manufacturing in India. https://telecom.economictimes.indiatimes.com/news/apple-gets-a-boost-in-india-as-chinese-suppliers-given-clearance/97081039 https://telecom.economictimes.indiatimes.com/news/apple-gets...
  - aatharuv 3y ago
    That's exactly what I was looking for. Thanks From the article akmittal posted at https://telecom.economictimes.indiatimes.com/news/apple-gets-a-boost-in-india-as-chinese-suppliers-given-clearance/97081039 https://telecom.economictimes.indiatimes.com/news/apple-gets... >> The local value addition in iPhone manufacturing is currently around 18%, and with the partners coming in, that could likely go up to 50%

I wonder what the value add in India is.

rozenmd 3y ago

Aren't they legally obliged to build product there if they want to sell it in India?

cuteboy19 3y ago
They would have import tariffs slapped on them, as with any other country. It's just that the tariffs are high

fauxpause_ 3y ago

It’s not China

jutrewag 3y ago

Cheaper, large workforce, not China, large consumer base.

aatharuv 3y ago

Downvotes for that? Okay, let me rephrase that. How much value is added to the phones in India?

jutrewag 3y ago
With manufacturing, almost all of it.
- aatharuv 3y ago
  My understanding is that from the article, assembly was being done, not complete manufacturing. Which means that many of the components are imported components that are being assembled. Parts from one country may get transported to another country to be built into a component, and returned to the original country for further assembly. So it would be interesting to learn what the value of the individual components imported in is, and how much value is added by Indian made components and during India assembly and by Foxconn and Wistron. https://www.cnn.com/2023/02/10/tech/india-apple-iphone-manufacturing-china-rival-intl-hnk/index.html https://www.cnn.com/2023/02/10/tech/india-apple-iphone-manuf... Assembly is fine to start out with, but to bring more of the value add, one would need to build out an entire ecosystem of factories building the components.
akmittal 3y ago
As of now not much. But existing apple suppliers(mostly Chinese) are in process of setting up manufacturing in India. https://telecom.economictimes.indiatimes.com/news/apple-gets-a-boost-in-india-as-chinese-suppliers-given-clearance/97081039 https://telecom.economictimes.indiatimes.com/news/apple-gets...
- aatharuv 3y ago
  That's exactly what I was looking for. Thanks From the article akmittal posted at https://telecom.economictimes.indiatimes.com/news/apple-gets-a-boost-in-india-as-chinese-suppliers-given-clearance/97081039 https://telecom.economictimes.indiatimes.com/news/apple-gets... >> The local value addition in iPhone manufacturing is currently around 18%, and with the partners coming in, that could likely go up to 50%