Key Takeaways
- 20% of all iPhones are now manufactured in India, a significant increase in 2024-2025.
- Foxconn’s massive Zhengzhou plant in China is facing a shrinking workforce and regulatory pressures.
- This marks a major geographic shift in Apple’s global supply chain strategy.
A new report indicates that Apple’s strategic move to ramp up iPhone production in India is starting to undermine China’s long-standing dominance as the world’s primary iPhone manufacturer. The analysis, published by Le Monde, details how Foxconn’s giant facility in Zhengzhou, often called ‘iPhone City,’ is contending with a declining labor force and stricter regulations, even as India’s manufacturing capacity expands rapidly.
The Challenges at China’s iPhone City
For over a decade, the Zhengzhou factory has been the global epicenter for iPhone assembly, employing up to 300,000 workers during peak seasons. Production traditionally surges between August and November to meet demand for new iPhone launches. To manage this, Foxconn has heavily depended on hiring tens of thousands of temporary workers.
However, this seasonal employment model is under scrutiny. Chinese law limits temporary workers to just 10% of a company’s total workforce, but reports from China Labor Watch suggest over half of Foxconn’s Zhengzhou employees are temporary hires—a practice the company was accused of in 2019. The system has been criticized for unstable jobs, poor working conditions, and annual protests over pay and bonuses.
The plant’s base monthly wage is approximately $295, which is notably lower than Zhengzhou’s average. To attract workers, Foxconn offers large seasonal bonuses that can exceed $1,300 per month during peak production. This creates a cycle where workers join briefly and leave once production slows.
India’s Rising Manufacturing Power
The most significant change is happening beyond China’s borders. Foxconn’s peak workforce in Zhengzhou has halved from roughly 300,000 in 2016-17 to about 150,000 today. The primary reason is Apple’s accelerated production shift to India.
Around 20% of all iPhones are now made in India, a figure that has surged in 2024 and 2025. Apple is actively diversifying its supply chains to reduce exposure to China tariffs. India’s aggressive push for local manufacturing, supported by incentives and factory expansions by Foxconn, Pegatron, and Tata Electronics, is giving Apple unprecedented flexibility.
With new factories becoming operational in states like Tamil Nadu and Karnataka, India is steadily taking over production work that was once exclusive to Zhengzhou. While China remains Apple’s main production base, ‘iPhone City’ is gradually losing its stronghold. India is positioning itself as the next major global hub, marking one of the most substantial geographic shifts ever seen in the iPhone supply chain.
