Apple is no longer limiting its India operations to assembling iPhones. According to a Reuters report, Apple is in talks with Indian chip manufacturers to assemble and package semiconductor chips in India. If this plan moves forward, it could be a major boost for India’s semiconductor industry and strengthen the country’s position in global tech manufacturing.
Apple Plans to Assemble Chips in India
Apple is exploring the possibility of assembling and packaging key components such as chips within India. This move would enhance India’s manufacturing capabilities and help the US reduce its dependence on China for critical technology components.
Which Chips Could Be Assembled?
There is no official confirmation yet on which chips will be assembled or packaged in India. However, reports indicate that these could be display-related chips. This step could further strengthen India’s role in the global electronics supply chain.
Gujarat May Become a Chip Assembly Hub
Apple is reportedly in talks with CG Semi, a company under the Murugappa Group. CG Semi is setting up an OSAT (Outsourced Semiconductor Assembly and Test) facility in Sanand, Gujarat. However, this information has not been officially confirmed.
Both Apple and CG Semi have declined to comment on these reports. CG Semi stated that it does not comment on market speculation or discussions with specific clients and will share details only when something is finalised.
Apple Aims to Reduce Dependence on China
Apple has been steadily changing its manufacturing strategy. The company aims to ensure that all iPhones sold in the US are made in India by the end of 2026. This shift is largely due to high tariffs imposed by the US on Chinese products.
In April, the US imposed a 26% tax on goods imported from India, while products from China faced tariffs of over 100%. Although most tariffs were later paused temporarily, high duties on China remain in place. As a result, India is emerging as a safer and more strategic manufacturing destination for Apple.
Why This Is a Big Win for India
If Apple starts chip assembly and packaging in India, it could:
- Boost India’s semiconductor ecosystem
- Create high-skilled jobs
- Strengthen India’s position as a global tech manufacturing hub
- It dealt a significant setback to China’s dominance in electronics manufacturing.
