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Ahead Of iPhone 17 Launch, Foxconn Pulls Out Over 300 Chinese Engineers From India

The pullout comes at a critical time for both Foxconn and Apple.

foxconn india iphone factories
iPhone 16 smartphones on display inside Apple Store at BKC, Mumbai. Tata Electronics is fast rivalling Foxconn in becoming a premium Apple manufacturer. (Photographer: Vishal Patel/NDTV Profit)

Foxconn Technology Group has recalled hundreds of Chinese engineers and technicians from its iPhone production facilities in southern India, Bloomberg News reported on Wednesday, posing a challenge to Apple Inc.’s strategy to diversify manufacturing away from China.

The repatriation began around two months ago, with more than 300 Chinese staffers told to return home, the report said, citing people familiar with the matter. Most of Foxconn’s remaining foreign workforce in India now comprises support personnel from Taiwan, one of the people told Bloomberg. The reason behind the decision remains unclear.

Earlier this year, Bloomberg News reported that Chinese authorities had verbally advised regulators and local governments to slow technology transfers and equipment exports to India and Southeast Asia. The move was viewed as an attempt to limit the outflow of advanced manufacturing capabilities from China, amid efforts by global companies to shift production due to trade tensions and supply chain disruptions.

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The pullout comes at a critical time for both Foxconn and Apple. Foxconn, Apple’s largest iPhone assembler, more than doubled its India revenue to over $20 billion in FY25, driven by a sharp increase in iPhone output, PTI had reported in April. The company also expanded its local workforce by over 65% to about 80,000 employees during the year, according to industry and government estimates.

Apple, meanwhile, is pushing to reduce its dependence on Chinese manufacturing. The company plans to import most iPhones sold in the United States from India by the end of 2026. To meet this target, Apple will need to nearly double its India production, a shift that gained urgency following Covid-19 lockdowns in China and rising geopolitical tensions.

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India has emerged as a key export hub for mobile phones, with Union Minister Ashwini Vaishnaw stating in April that the country’s exports crossed Rs 2 lakh crore in FY25. iPhone shipments accounted for Rs 1.5 lakh crore of this total.

Foxconn is currently building what will be its second-largest facility outside China in Devanahalli, near Bangalore, with a planned investment of $2.8 billion (about Rs 25,000 crore). The plant is expected to generate over 40,000 jobs and support Apple’s expanded output requirements in the region.

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