Apple may expand India manufacturing beyond iPhones; Google eyes China shift: Ashwini Vaishnaw
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Apple could expand its manufacturing operations in India beyond iPhones, while Google could shift a large share of its export-oriented device production from China to India, Union Electronics and IT Minister Ashwini Vaishnaw said on Friday. The comments come as the government pushes to deepen domestic electronics manufacturing and build stronger Indian smartphone brands.
Addressing reporters at a press conference, Vaishnaw said, "The government expects a significant share of Google's production meant for overseas markets to come to India."
He also indicated that discussions with Apple are focused on expanding its manufacturing footprint to products beyond the iPhone, although he did not specify which devices could be included.
Apple, Google deepen India manufacturing
It may be recalled that Apple began assembling iPhones in India in 2017 and has expanded production through suppliers including Foxconn and the Tata Group. India is expected to account for about 26% of global iPhone production in 2026, according to Counterpoint Research estimates cited in reports, with the country increasingly serving as an export base.
Google started manufacturing Pixel smartphones in India in 2024, initially with the Pixel 8, through manufacturing partners. Dixon Technologies is among the companies assembling Pixel devices in the country.
Vaishnaw's comments follow reports that Google plans to stop manufacturing Pixel phones, watches and wireless earbuds in China from 2027, with production expected to move to India and Vietnam. Google has not publicly confirmed the reported plan.
Three Indian smartphone players in pipeline
The minister also said the government is working with three potential Indian smartphone players that could emerge over the next 10-14 months. The companies have been asked to develop best-in-segment designs and identify categories in which they can compete, ranging from economy to premium and super-premium.
The companies have indicated a preference for the high-volume segment, Vaishnaw said, adding that the government would assess their intellectual property and design quality before extending support.
₹62,500-crore scheme backs local manufacturing
The push comes alongside the newly notified ₹62,500-crore Mobile Phone Manufacturing Scheme (MPMS), which will run from FY27 to FY31. It offers incentives of 2.25% to 5% on eligible mobile phone sales, along with an additional incentive of up to 1.5% for specified domestically sourced components and sub-assemblies.
The scheme also seeks to support Indian brands and deepen domestic value addition. Government data shows that 99.2% of mobile phones used in India are now manufactured domestically, while domestic value addition has risen to 23%.