Apple enters preliminary discussions with local firms to assemble and package iPhone components in India for the first time. Apple India chip assembly will give a major boost in native growth.
Apple began early talks with Indian chip manufacturers on Wednesday, December 17, 2025, to explore the assembly and packaging of iPhone parts in India. The move marks a step beyond device assembly into the realm of semiconductors.
Sources said discussions focus on outsourced semiconductor assembly and test facilities. Exploratory conversations involve CG Semi in Sanand, Gujarat. This development aligns with India’s push to build a domestic semiconductor ecosystem. It could elevate local suppliers in Apple’s global value chain.
Apple Semiconductor Packaging India
Apple currently sources iPhone display panels from Samsung Display, LG Display, and BOE. Display driver integrated circuits are sourced from suppliers such as Samsung, Novatek, Himax, and LX Semicon. These suppliers rely on facilities in South Korea, Taiwan, or China for manufacturing and packaging. Shifting some Apple semiconductor packaging to India would diversify risks.
Talks remain preliminary. Sources indicated that display-related chips appear most likely to be the initial focus. CG Semi builds an OSAT facility backed by central and state incentives. The ₹7,600 crore project partners with Renesas and Stars Microelectronics.
Phase one facility handles full-chip assembly, packaging, testing, and post-test services. Commercial production is targeted for 2026 under the India Semiconductor Mission. Apple did not comment on the reports. CG Semi stated it avoids speculation on customer talks.
Apple iPhone Chips India
India already assembles multiple iPhone models through Foxconn, Pegatron, and Tata Electronics. Production ramped up significantly in recent years. Expanding to Apple iPhone chips in India would add higher-value activities. Analysts see benefits for supply chain resilience.
Prabhu Ram from CyberMedia Research noted India is maturing as a key electronics node. Apple benefits from diversification through its Indian partners. Recent Intel pact with Tata Electronics explores local chip manufacturing and packaging. It highlights momentum in the sector.
India Semiconductor Apple Talks
These talks between India and Apple on semiconductors follow government efforts to attract investments. The scheme supports OSAT and fabrication units. Micron builds an assembly plant in Sanand. Tata advances large-scale fab.
If talks progress, Indian firms must meet Apple’s strict quality standards. Few suppliers secure final approval. Discussions are at an early stage. No confirmed chips or timelines yet.
Background
Apple diversified manufacturing from China amid geopolitical shifts. India emerged as a key hub for iPhone assembly and exports.
Local production supports jobs and value addition. Semiconductor push aims for deeper integration. Government incentives cover up to 50 percent of the costs for eligible projects. Mission targets global hub status.
What’s Next in Apple India Chip Assembly Talks
The outcome of Apple India chip assembly talks could influence future investments. Success depends on quality, consistency, and yields. Observers watch for formal agreements. Progress may boost other partnerships.
India’s ecosystem gains traction. Apple aims for higher local sourcing by 2026. This step in Apple India chip assembly reinforces the commitment to regional manufacturing growth.
Published in SouthAsianDesk, December 17th, 2025
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