Promoting Diversification of Production Bases

[Image source=Yonhap News]

[Image source=Yonhap News]

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[Asia Economy Reporter Kim Bo-kyung] Apple is diversifying its production bases by entrusting the production of its latest smartphone, the iPhone 14, to Taiwan's Pegatron.


According to Bloomberg on the 4th (local time), Pegatron became the second Apple partner to produce the iPhone 14 in India, following Foxconn.


Pegatron's factory in Tamil Nadu, southern India, had been manufacturing the iPhone 12 since early this year before starting production of the iPhone 14. Pegatron has typically produced the standard iPhone models.


Earlier, since September, Foxconn, Apple's largest partner, began producing the iPhone 14 in India.


This occurred just weeks after Apple unveiled the iPhone 14, roughly coinciding with the start of manufacturing in China, the core production base for the iPhone. However, the premium model, the iPhone 14 Pro, is exclusively produced by Foxconn in Zhengzhou, China.


Recently, the industrial complex in Zhengzhou, where Foxconn's factory is located, was shut down due to COVID-19 infections, highlighting Apple's serious dependence on China.


Ivan Lam, a researcher at market research firm Counterpoint Research, explained that Apple has been seeking production bases outside China as the US-China trade war escalates and China's 'zero COVID' policy tightens.



He also evaluated that Indian authorities are strengthening their position as a competitor to China, the 'global factory,' through attraction efforts using financial incentives and other measures.


This content was produced with the assistance of AI translation services.

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