Apple's China supply chain remains strong despite focus on India, SE Asia

Despite Apple's efforts to diversify its manufacturing base, China continues to maintain a dominant position in several critical segments of the tech giant’s supply chain, according to a report by the U.S.-based think tank American Enterprise Institute (AEI). Over the past seven years, Apple’s overall electronics manufacturing presence in China has decreased from around 70% to 50%, largely due to its increased focus on expanding operations in India and Southeast Asia. However, the AEI report highlights that China still leads in vital supply chain areas such as printed circuit boards, packaging and printing, molded and mechanical components, and precision manufacturing. These findings suggest that while production volumes may be shifting geographically, the high-value and technically complex parts of Apple’s supply chain remain firmly rooted in China. This leaves room for policymakers in emerging manufacturing hubs like India to develop targeted strategies to attract investment in these advanced manufacturing segments and reduce reliance on Chinese suppliers.