In Budget 2020, Finance Minister Nirmala Sitharaman announced an increase of import tax on PCBs (Printed Circuit boards) from 10% to 20%. Considering the Make in India initiative, Apple announced its manufacturing partner Wistron to assemble iPhone parts in Bengaluru, and this move will give wings to Make in India Initiative, creating more job opportunities in the country.
Wistron’s India unit will be first for the contract manufacturer, which began manufacturing apple’s new low priced SE model and currently also assembles iPhone 7 and 8 models.
Wistron is said to invest 30 billion, and the facility will be capable of producing approximately 8 million smartphones, as per the proposal given by the company to Karnataka state Government said that this would help gain leap in the Make in India initiative.
Wistron’s rival Foxconn began making the iPhone XR model in India last year, which assembles PCB locally still India is dependent on china for other parts like display panels and camera module parts.
Manufacturing parts in India will not only lower apple smartphone prices also would help Apple to gain a foothold in the fast-growing Indian Market with the Make in India Initiative.
Apple is seeking tax concessions on the import of key components of its smartphones; however, most of them have been declined by the Indian Government.