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In a big move this July, more than 300 Chinese workers were made to resign and return home from Foxconn’s iPhone manufacturing factories in India.
This comes nearly a year after a video of Apple CEO Tim Cook went viral in September 2024, where he praised the skill and expertise of Chinese assembly workers.
In a recent report, Bloomberg mentioned that Foxconn, best known for manufacturing products like iPhones for Apple, has asked hundreds of Chinese workers in India to resign. The report added that this move is likely to slow down the training of Indian workers and the transfer of technical skills, potentially raising the cost of production.
The international media outlet also noted that India’s government was informed about the decision, though neither Apple nor Foxconn has released an official comment.
This news comes months after the US-China trade tensions started. In April 2025, Apple CEO Tim Cook remarked, “The truth is China stopped being a low labour cost country,” challenging the common belief that companies rely on China mainly for cheap labor.
Impact on India
Good for India? The firm's move comes amidst the craze for upcoming iPhone17 and plans to build another factory in India.
The timing of this move is not ideal for Apple, according to Bloomberg’s analysis.
Although Foxconn continues to produce most iPhones in China, it has been steadily expanding its manufacturing presence in India over the past few years.
To support this shift, skilled Chinese engineers were transferred to India, prompting assistance in setting up and manage local operations. As a result, large-scale iPhone assembly in India began about four years ago.