Apple Planning to Begin AirPods Manufacturing in India in 2025: Report

Apple has reportedly finalised its plans to begin manufacturing its AirPods true wireless earphones in India, beginning in 2025, according to the Times of India. Such a move has been rumoured and reported as likely for several months now. The company was expected to begin with the introduction of its 4th Gen AirPods, which are positioned as the company’s new entry-level model. Apple already uses manufacturing partners in India to produce a significant proportion of its global iPhone shipments but has been reportedly considering moving part of its iPad, MacBook and AirPods orders here as it continues to diversify its global supply chain. 

Citing unnamed sources, the report says AirPods casings will be manufactured by Jabil near Pune while Foxconn will handle final assembly at its Telangana plant. It is not confirmed which models will be manufactured here, but the standard AirPods 4 and the more premium AirPods 4 With Noise Cancellation are much more likely candidates than the AirPods Pro and AirPods Max.

The report adds that the majority of AirPods production in India will likely be targeted at exports, as the market in India is growing but only a small proportion of global demand. Apple sold 75 million pairs of AirPods in 2023, down from an all-time peak of 114 million units in 2020, according to Statista. In India, the TWS audio market is dominated by homegrown brands with lower-priced options. 

Apple this year began assembling its iPhone 16 Pro and iPhone 16 Pro Max, the first time that Pro models are being produced here. The iPhone 14 and 14 Plus were the first to be manufactured in India ahead of their global launch. Apple’s contract manufacturers Foxconn, Pegatron and Wistron (now taken over by Tata Electronics) have been manufacturing standard iPhone models and the lower-cost iPhone SE in India since 2021. iPhone exports are reported to account for over 73 percent of India's total smartphone export value.

While Chinese firms remain Apple’s primary manufacturing partners, Apple has begun establishing supply chains in other parts of the world, notably India, Vietnam, and Brazil. As of April 2024, 14 percent of global iPhone production was based in India, with $14 billion worth of units shipped in FY23-24. Foxconn accounted for 67 percent of these units while Pegatron contributed 17 percent and the rest came from Tata/Wistron.

India is on track to become Apple's third-largest market in 2025. The company has posted eight straight quarters of growth here. Revenue in India was just shy of ₹50,000 crore (USD 6.8 billion) in 2023, growing 48 percent year-on-year, largely due to growing demand for premium products and easy availability of financing.