Apple and Bharat Forge in Talks to Manufacture Components in India

Apple is in talks with Bharat Forge, a member of the Kalyani Group, to integrate the Indian manufacturer into its supply chain. Bharat Forge will provide the US-based tech giant with components, including mechanical parts, if the deal is finalized.

With this move, Bharat Forge would join the Tata Group, Motherson Group, and Aequs as the newest Indian company to collaborate with Apple.

According to a source cited in the report, Apple has started discussions with Pune, Maharashtra-based Bharat Forge and is looking into joint ventures with some of the biggest businesses in India.

As part of its plan to lessen its dependency on China, Apple has been aggressively growing its network of Indian suppliers in recent years to promote local value addition.

Current Indian suppliers for Apple

Three iPhone assembly plants are part of Apple's supplier network in India; the largest facility is run by Foxconn in Tamil Nadu. Two more Tata Group locations are located in Tamil Nadu and Karnataka. Other important Indian suppliers are Foxlink for cables, Aequs for enclosures, and Sunwoda for battery packs. Salcomp, one of Apple's first Indian suppliers, now offers magnetics in addition to coils and power packs.

Furthermore, Amperex Technology Ltd (ATL), a significant supplier to Apple, is getting ready to start producing battery cells at a 180-acre plant in Manesar, Haryana.

Nearly 5,000 people are employed by the well-known Indian manufacturing company Harat Forge. The business works in industries like defense, aerospace, energy, and automobiles.

The business works in industries like defense, aerospace, energy, and automobiles. Under the leadership of Baba Kalyani, who is 76 years old, Bharat Forge has many subsidiaries and a large global footprint.

Growth in local value addition

Apple has greatly expanded its local value addition since starting production in India in 2020 under the Production Linked Incentive (PLI) program. By 2024, the proportion of local value addition in all iPhone models had increased from 5–8% in 2020 to 20%.

Apple produced $17.5 billion worth of iPhones in 2024, setting a new record for exports of $12.8 billion.

According to industry analysts, Apple plans to keep bringing on local suppliers in the upcoming year to support the Tata Group's Hosur facility in Tamil Nadu. The Motherson Group is also seeking a partnership with Hong Kong-based BIEL Crystal Manufactory to become a part of Apple's supply chain, according to reports from August 2024.