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Brinks Report > Blog > Business > Foxconn Withdraws Chinese Workers from India, May Impact iPhone Production Plans
Business

Foxconn Withdraws Chinese Workers from India, May Impact iPhone Production Plans

Dolon Mondal
Last updated: July 2, 2025 6:22 pm
Dolon Mondal
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Apple’s big plan to make iPhones in India just hit a serious roadblock — and China’s fingerprints are all over it.

Foxconn, Apple’s top manufacturing partner, has quietly pulled out more than 300 Chinese engineers and technicians from its iPhone factories in southern India. This move, which started around two months ago, threatens to slow down Apple’s fast-growing operations in the country.

Trulli

It’s a big deal. These Chinese workers were key to training the Indian workforce and transferring years of manufacturing know-how. Without them, production might continue — but not as fast, not as smooth, and definitely not as cheap.

Why Did Foxconn Pull Out?

No one’s officially talking, but the timing says a lot. According to Bloomberg (source), Chinese officials have recently urged companies to restrict tech transfers and stop skilled labor from helping rivals in places like India and Vietnam. It’s a subtle way of saying: “If you want our talent, you better stay in China.”

This quiet tech blockade is part of China’s wider plan to stay dominant in manufacturing. And it sends a clear message to companies like Apple that are trying to move production out of China due to rising US tariffs and political pressure.

Also Read Surprising Impact of the HCL-Foxconn Semiconductor Plant in Jewar—Is India Ready?

India’s Rise Meets China’s Resistance

Apple has been trying to make India its next big manufacturing hub. Around 20% of all iPhones are now made in India. Foxconn has even started building a brand-new iPhone factory in the south.

But India only began assembling iPhones at scale four years ago. The Chinese engineers were sent to speed things up. Now, without them, local teams will take longer to get up to speed. That means delays, higher costs, and growing pains — just as Apple plans to ramp up production for the iPhone 17.

Not Just Business — It’s Geopolitics

This isn’t just a business hiccup. It’s a tug of war between mission and control. Apple wants to reduce its dependence on China. India wants to rise as a global tech hub. But China doesn’t want to hand over the keys to its crown jewel — manufacturing expertise.

Even as high-level meetings between India and China try to cool tensions, real-world moves like these speak louder. Direct flights still haven’t resumed. Chinese apps are still banned in India. And now, Foxconn’s quiet exit adds one more layer of mistrust.

Apple tried to move its factory.
But China reminded them — the real factory is in the people.

Also Read iPhone Manufacturers Now Source Over 20% Components Locally, Says FM Sitharaman

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