AirPods production in India started earlier this year. However, in just a short-span, the company is now facing issues in production of the product due to China. Some of the rare earth metals that are exported from China are needed to make the AirPods. However, China has restricted the exports of rare-Earth metals in since April. Foxconn, the company resonsible for production of AirPods in India has flagged this issue to the Telangana government, where its manufacturing facility is.
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According to a MoneyControl report, dysprosium and neodymium are the two metals that are facing shortage in supply. Despite this, the production hasn't come to a complete halt. The company is still producing some, but it is an issue that needs to be resolved. The government's Make-in-India initiative will not get hurt majorly due to this. Other products from Apple still continue to get manufactured in India at scale and that scale is only rising.
The solution for this particular issue is now diplomacy. India can't force China to supply the rare Earth metals, and China won't be bullied into giving it. Foxconn, thankfully, along with Apple, had anticipated something like this could happen. Thus, the company had made arrangements in advance to counter the situation. But those measures will only last so long.
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China wouldn't want these issues to be resolved any time soon. It gives China the edge in manufacturing. India has been cornering maufacturing share from China for the last few years. Apple is also looking to shift and is in fact, the process to shift manufacturing from China to India. To stay updated with the situation, keep reading TelecomTalk.
