Apple is currently in discussions with Bharat Forge, a prominent Indian manufacturing company under the Kalyani Group, to potentially include it as a supplier for components manufacturing in India. This initiative aims to enhance Apple's local manufacturing capabilities and reduce its reliance on Chinese suppliers amid ongoing geopolitical tensions.

If the negotiations are successful, Bharat Forge will produce various components, including mechanical parts, for Apple. This collaboration is part of Apple's broader strategy to strengthen its supply chain by partnering with major Indian firms.

Established in 1961 and headquartered in Pune, Maharashtra, Bharat Forge is one of India's largest multinational companies, employing around 5,000 people. The company operates across diverse sectors such as automotive, aerospace, energy, and defense, which positions it well to meet Apple's component needs.

Apple's discussions with Bharat Forge are part of a larger effort to expand its supplier network in India. Over the past two years, the tech giant has been actively working to increase local value addition in its products. Currently, approximately 14% of iPhones are manufactured in India, and Apple aims to raise this figure to 25% by 2027-2028.

Apple has already established partnerships with other significant Indian firms such as Tata Group and Motherson Group. These collaborations have been crucial for diversifying Apple's supply chain and enhancing local production capabilities.

In 2024 alone, Apple produced iPhones worth $17.5 billion in India and achieved record exports totalling $12.8 billion. The company's efforts have led to a notable increase in local value addition from an initial 5-8% when manufacturing began under the Production-Linked Incentive (PLI) scheme in 2020 to nearly 20% by 2024.

As Apple continues to explore partnerships with Indian suppliers like Bharat Forge, industry experts anticipate that more local vendors will be integrated into its ecosystem. This trend aligns with India's push for self-reliance in manufacturing and is expected to create additional job opportunities while enhancing the skill set of the local workforce.

Apple's potential collaboration with Bharat Forge signifies a strategic move towards bolstering its manufacturing presence in India while fostering economic growth through local partnerships.

Agencies