Foxconn is taking another step in cementing its rolerole in Apple’s Indian manufacturing strategy. After years of focusing mainly on iPhone assembly, the Taiwanese contract manufacturing giant is now preparing to build iPhone casings locally for the first time. Here’s why that matters.
According to a new report from The Economic Times, Foxconn is setting up a new unit at the ESR Industrial Park in Oragadam, Tamil Nadu, focused specifically on making metal casings for iPhones.
Casings, often referred to as iPhone chassis or enclosures, have until now been manufactured in India only by Tata Electronics, which recently made headlines as Apple’s new partner for iPhone and MacBook repairs in the country.
Foxconn seizes the opportunity
For Foxconn, this marks its first foray into that part of the iPhone supply chain on Indian soil. Until now, its operations in the country have largely centered on iPhone assembly at its Sriperumbudur facility, along with newer projects like AirPods assembly in Hyderabad and a major upcoming iPhone assembly plant near Bengaluru.
The move will help Foxconn slightly boost the percentage of iPhone production value happening locally, though the overall impact will remain small. iPhone enclosures typically make up just 2–3% of the device’s total bill of materials.
Even with this new capability, Foxconn’s total India-based value addition will likely stay below 10%, according to Neil Shah, industry analyst and co-founder of Counterpoint Research.
He also noted that Apple already sources enclosures from multiple vendors globally, including Foxconn in other regions, so expanding that capability into India is a logical next step.
Back to the report, construction on the new unit is already underway. It is being built in the same industrial park as another upcoming Foxconn facility that will handle display module assembly for iPhones.
Geopolitics, tariffs, and Trump
Of course, no story about Apple’s global manufacturing pivot would be complete without a geopolitical wrinkle. President Donald Trump recently took to Truth Social with a threat, reportedly as punishment for skipping his CEO-studded Middle East trip:
“I have long ago informed Tim Cook of Apple that I expect their iPhone’s that will be sold in the United States of America will be manufactured and built in the United States, not India, or anyplace else. If that is not the case, a Tariff of at least 25% must be paid by Apple to the U.S. Thank your for your attention to this matter!”
For now though, Foxconn’s India expansion shows no signs of slowing down, and neither does Apple’s doubling down on the country. Between iPhone enclosures, display modules, AirPods, full iPhone assembly, and a new store, the company is steadily deepening its role in Apple’s India strategy, regardless of how that might play out in Washington.
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