China has stopped sending its workers to the Chennai-based Foxconn factory, engaged in iPhone production, and is recalling the already deployed workforce.
According to sources, China has also held up some key equipment needed to build iPhones, which may hamstring the production of the next generation of phones by Apple in India.
"Currently, the equipment and manpower are not allowed to go over [to India]," one of the sources told Rest of World. "And India doesn’t have the technology to produce the equipment."
Taiwanese firm Foxconn has been engaged in the assembly of iPhones at a plant in Chennai's Sriperumbudur since 2019.
Apple has also been manufacturing its phones at several other plants in India through Pegatron and Tata Group.
The US firm moved production of some of its most advanced iPhone models to India after China imposed stricter regulations under its zero-Covid policies.
The move, so far successful, may likely have rattled China, which became a manufacturing giant on the back of its cheap and massive labour force.
Ties between India and China, always strained, were tested when China expropriated land in Ladakh after the 2020-21 border skirmishes which resulted in several deaths.
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