Apple has reportedly begun manufacturing the iPhone 14 in India, diversifying its supply lines away from China.

In response to escalating tensions between Washington and Beijing, the business has relocated a portion of its phone production to other countries.

During the epidemic, China’s ‘zero-Covid’ rules, which have prompted massive lockdowns, have also caused significant commercial interruptions.

This month, the technology giant introduced its latest iPhone.

“The new iPhone 14 lineup combines revolutionary new technologies and crucial safety features. We’re thrilled to produce the iPhone 14 in India “Apple stated in a press release.

Since 2017, Foxconn, a Taiwanese company that manufactures the bulk of Apple’s phones, has operated an operation in the southern Indian state of Tamil Nadu, where it produces older models of the devices.

Now, though, Apple is wagering heavily to manufacture its newest product, the iPhone 14, in India.

Apple hopes to extend its presence in India by betting on the country. Last year, its market share in that region was approximately 4%.

The American powerhouse has struggled to compete with South Korean and Chinese devices, which continue to dominate the Indian smartphone market despite being far more expensive.

However, due to high import levies on components and other fees, phones manufactured in India will not necessarily be less expensive in India.

Therefore, while Indians may like the ‘Made in India’ label on their iPhones, they will still be required to pay a significant fee for it.

The declaration that iPhone production has expanded in India is a victory for the administration of prime leader Narendra Modi.

To improve the country’s manufacturing and exports, his administration launched the “Make in India” initiative eight years ago.

Apple’s decision represents its most recent step toward diversifying its supply chains to minimize interruptions as tensions between China and the United States escalate over Taiwan and trade.

Analysts at the investment firm JP Morgan stated earlier this month that they anticipate Apple will relocate approximately 5 percent of iPhone manufacturing to India this year.

The survey also predicted that by 2025, a fifth of all iPhones will be manufactured in the South Asian nation.

According to Vietnam’s government, Apple supplier Foxconn invested $1.5bn (£1.4bn) in the country last year.

Last month, Vietnamese official media announced that the company had signed a $300 million contract to expand its facilities in the country’s north to increase production.