Tech News Assistant Editor
Tez Mukamba
In a major milestone for South Korea’s tech giant, LG Electronics has officially joined Apple’s iPhone supply chain — not as a component maker, but as a supplier of manufacturing equipment for the first time in its history.
According to a report by India’s Economic Times on November 5, LG’s Production Technology Institute, a division responsible for developing automated manufacturing and production systems, has supplied automated equipment for the iPhone 17 production process to Apple’s manufacturing partners in India — Foxconn, Tata Electronics, and Pegatron.
This marks a significant expansion of LG’s partnership with Apple, which had previously been limited to display and camera module supply through its affiliates, LG Display and LG Innotek.
A New Phase in LG–Apple Cooperation
While LG has long been one of Apple’s trusted component suppliers, this is the first time LG Electronics itself — not its subsidiaries — has contributed directly to the production of finished iPhone units.
Industry observers see this as a strategic deepening of cooperation between the two global giants. The move also signals LG’s growing ambitions to extend its manufacturing expertise beyond consumer electronics and into industrial automation, semiconductors, and smart factory technologies.
A source in the tech industry told Economic Times:
“It is significant that Apple, which is diversifying its supply chain, has adopted LG Electronics’ equipment to stabilize initial production. As Apple’s production volume in India increases, equipment supply from LG could also expand.”
Apple’s Expanding Footprint in India
The deal comes as Apple continues to shift a larger share of its iPhone production from China to India, a move driven by both geopolitical and economic considerations.
Apple began assembling iPhones in India in 2017 and has since accelerated its local manufacturing strategy. As of 2024, Apple produces the entire iPhone 16 lineup in India — a clear indication of its confidence in the region’s growing industrial capabilities.
By sourcing high-precision production systems from LG Electronics, Apple aims to improve manufacturing efficiency and quality control in India’s rapidly expanding iPhone factories.
This partnership is also expected to strengthen Apple’s resilience against tariff risks and supply disruptions, while supporting India’s rise as a global manufacturing hub.
Boost for LG Electronics’ Global Strategy
For LG Electronics, the agreement represents a major breakthrough that could open new revenue streams and boost its presence in India’s industrial technology sector.
By meeting Apple’s strict quality and reliability standards, LG has positioned itself as a credible player in high-end manufacturing automation — a field dominated by Japanese and German firms.
The collaboration could also pave the way for future equipment orders from other multinational tech firms, further diversifying LG’s business portfolio.
Following the recent listing of LG Electronics’ Indian subsidiary, this development could significantly expand its influence within India, where it already leads the home appliance market in both sales and market share.
Plans to Relocate Facilities to India
In a related development, Economic Times revealed that LG Electronics is considering relocating some of its production facilities — including those used in the manufacture of electronics, displays, and advanced components — from South Korea, China, and Vietnam to India.
Such a move would not only align with India’s “Make in India” initiative but also strengthen LG’s supply chain integration with Apple’s growing operations in the region.
A Win–Win Partnership
The LG–Apple collaboration marks a new era of cross-industry synergy. For Apple, it ensures access to top-tier manufacturing systems as it scales up Indian production. For LG, it represents validation of its technological capabilities on the global stage — and a potential stepping stone into a lucrative new sector.
As Apple’s iPhone 17 gears up for production, this partnership underscores a larger trend in global manufacturing: the convergence of consumer electronics innovation, automation technology, and regional diversification.
In the words of one analyst:
“Apple is betting on India for the future of its manufacturing — and LG Electronics is now part of that story.”
