 "Apple in talks with Bharat Forge for India-based component manufacturing")
Apple is in discussions with Bharat Forge, part of the Kalyani Group, to include the Indian manufacturer in its supply chain, according to a report by The Economic Times. If the deal is finalised, Bharat Forge will supply components, including mechanical parts, to the US-based tech giant.
This development would make Bharat Forge the latest Indian company to partner with Apple, joining the Tata Group, Motherson Group, and Aequs.
The report quoted a source as saying that Apple is exploring collaborations with some of India’s largest companies and has initiated talks with Bharat Forge, based in Pune, Maharashtra.
In recent years, Apple has been actively expanding its supplier ecosystem in India to enhance local value addition as part of its strategy to reduce reliance on China.
Existing Apple suppliers in India
Apple’s supplier base in India includes three iPhone assembly plants, with Foxconn operating the largest facility in Tamil Nadu. The Tata Group runs two additional units in Tamil Nadu and Karnataka. Other key suppliers in India include Sunwoda, which provides battery packs, Foxlink for cables, and Aequs for enclosures. Salcomp, one of Apple’s earliest suppliers in India, has expanded its portfolio beyond coils and power packs to include magnetics.
Additionally, Amperex Technology Ltd (ATL), a major Apple supplier, is preparing to manufacture battery cells at a 180-acre facility in Manesar, Haryana.
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Bharat Forge, a prominent Indian manufacturing company, employs nearly 5,000 people. The company operates across sectors such as automotive, energy, aerospace, and defence. Led by 76-year-old Baba Kalyani, Bharat Forge has numerous subsidiaries and an extensive global presence.
Local value addition growth
Since initiating production in India under the Production Linked Incentive (PLI) scheme in 2020, Apple has significantly increased its local value addition. The percentage of local value addition has grown from 5–8 per cent in 2020 to 20 per cent across various iPhone models by 2024.
In 2024, Apple achieved a production milestone of $17.5 billion worth of iPhones, with exports reaching a record $12.8 billion.
Industry experts predict that Apple will continue onboarding local suppliers in the coming year, complementing the Tata Group’s Hosur unit in Tamil Nadu. Reports from August 2024 indicate that the Motherson Group is also pursuing a collaboration with Hong Kong-based BIEL Crystal Manufactory to join Apple’s supply chain.