The analyst believes that Apple's plan involves Pegatron or Wistron cooperating with Indian company Tata Group to further develop the iPhone assembly business in India. Currently, over 80% of iPhones produced in the country (by Foxconn) are needed to meet domestic demand.
If Tata Group does partner with Pegatron or Wistron, that would accelerate the growth of the assembly business in India, allowing Apple to supply other markets with those devices.
Additionally, Kuo says Apple could turn to Thailand for non-China production of MacBooks. Currently, all MacBooks are assembled from production sites in China.
In the medium term (3-5 years), Kuo believes Apple will be able to supply the entire US market (~25-30%+ of global shipments) from sites not located in China. This would reduce the impact of political risks.
In the long term, Apple is purportedly planning to supply all non-China markets from assembly sites outside the country.
(1) The non-Chinese markets will be supplied by assembly sites located in non-China, while the Chinese market will be supplied by assembly sites located in China.
(2) Assemblers can conduct NPI (new product introduction) in China and non-China.
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