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Explore how Foxconn's Hyderabad plant expansion helps Apple strengthen its global supply chain, reduce China dependence, and serve multiple markets.
Apple is preparing to ramp up AirPods production in India, with its key supplier Foxconn planning a major expansion at its Hyderabad facility, according to a report by The Economic Times. The move signals another step in Apple’s effort to diversify its supply chain beyond China.
Foxconn Interconnect Technology (FIT), a subsidiary of the Taiwanese electronics giant, has begun upgrading its AirPods manufacturing plant in Kongara Kalan, near Hyderabad. The company plans to double production capacity from over 100,000 units to 200,000 units per month within the next six to eight months.
To meet this new target, Foxconn is overhauling five existing assembly lines and adding new machinery transferred from its facilities in Vietnam. The plant began mass production of AirPods in April this year, following an earlier relocation of tools and equipment from Vietnam.
The facility currently employs around 2,000 workers, but that number is expected to grow to 5,000 employees as production scales up. The assembly lines are focused on the AirPods 4 and AirPods Pro 3, Apple’s latest wireless earbud models.
According to the report, Foxconn has committed a total investment of ₹4,800 crore (around $575 million) in the Hyderabad project, with more than ₹3,000 crore already invested. The facility is part of a broader $550-million plan announced in 2023 to establish a major audio manufacturing hub in India.
This investment is not just about increasing output, it’s also about creating a long-term production base. The Hyderabad plant will serve multiple regions including India, the U.S., and Europe, strengthening Apple’s global supply chain.
Apple’s push to expand production in India comes as part of its ongoing strategy to reduce reliance on China. The company has already moved parts of its iPhone production and Apple Watch manufacturing to India, while Foxconn continues to expand its presence in Vietnam, Malaysia, and Thailand.
The move also helps Apple build resilience against potential trade restrictions, tariffs, and disruptions like those caused during the pandemic. Recently, Apple faced a production slowdown in July due to a shortage of dysprosium, a rare earth metal essential for AirPods components, after China temporarily tightened export controls.
With new investments and workforce growth, Foxconn’s Hyderabad plant is set to become one of Apple’s most important audio device manufacturing centers outside China. The expansion marks a significant milestone in Apple’s ongoing shift toward a more balanced, multi-country production network.