A fire at Tata Group’s iPhone component plant in Hosur, Tamil Nadu, has caused significant damage and halted production indefinitely. The plant is the only Indian supplier of iPhone back panels and other parts used by both Foxconn and Tata’s own iPhone assembly operations in the country. This disruption comes ahead of the Indian festive season, a critical period for sales.
According to Hong Kong-based Counterpoint Research, local sales of iPhone 14 and 15 models in India are expected to reach 1.5 million units during the festive season, which runs from late October to early November. The fire is expected to affect 10-15% of that demand, though Apple may compensate by importing components from China or redirecting export inventory to the Indian market.
In the year leading up to August 31, Tata exported iPhones and parts worth over $250 million to markets including the Netherlands, the United States, and China, according to commercially available customs data. Tata has declined to comment on the situation.
The fire comes as part of a broader context of supply chain challenges in India’s electronics sector, where Apple’s efforts to diversify its manufacturing base have faced setbacks. Recent incidents include fires and labor unrest affecting other suppliers such as Foxlink, Pegatron, Wistron, and Foxconn.
Despite these disruptions, Tata continues to expand its role in Apple’s supply chain. A second plant in Tamil Nadu, near Chennai, is expected to be acquired from Pegatron, while another facility near Bengaluru was acquired from Wistron last year. It remains unclear if the fire will delay the start of full iPhone production at Tata’s other units.
Experts note that ongoing improvements in safety and operational standards are crucial for India’s ambition to strengthen its electronics manufacturing capabilities.