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Recently, Apple released its latest quarterly financial report, showing that the company's revenue in Greater China fell 6.5% year-on-year in the second quarter. Analysts believe that one of the main reasons is that the quality of Apple phones assembled in India is problematic. According to British media reports, only about half of the Apple phone parts coming out of the Indian production line are of qualified quality, which is far from Apple's "zero defect" standard. Some video bloggers uploaded Apple phone disassembly videos on social media platforms, revealing the defects of Apple phones assembled in India, such as obvious fingerprints on the motherboard and dust inside the camera.

These quality issues have disappointed consumers with high-priced Apple phones, affecting the sales performance of Apple phones in Europe and China, forcing Apple to cut prices for promotions. According to Indian media reports, in the 2023-2024 fiscal year, the total value of low-end models assembled by Apple in India is about US$14 billion, accounting for 14% of its global production, while high-end models continue to be assembled in China. The shrinking profits and returns caused by low yields have become a major problem for Apple's "Made in India" strategy.

Still has not established enough trust with global companies

The "Make in India" strategy was proposed by Indian Prime Minister Modi when he first took office in 2014. It aims to increase the proportion of domestic manufacturing in India, attract foreign investment and production in India, and strengthen local manufacturing.

Electronics assembly is seen as a key component of this strategy. In order to promote investment in key areas and cutting-edge technologies, drive economies of scale in manufacturing, and enhance the global competitiveness of Indian companies and manufacturers, the Indian government launched the "Production Linked Incentive Program" in March 2020. By November 2022, the program has been extended to 14 major industries in India, including telecommunications, white goods, textiles, medical device manufacturing, automobiles, special steel, food, high-efficiency solar photovoltaic components, etc. However, most of these industries still rely heavily on Chinese manufacturing and have a high demand for Chinese technicians.