In a strategic move to bolster its presence in the contract manufacturing of high-end electronic items and accessories, Tata Electronics, a part of the Tata Group, is set to expand its existing iPhone-casing unit in Hosur.

Multiple sources familiar with the development revealed to Economic Times that the expansion aims to make the facility about two times larger than its current size.

Tata Electronics recently acquired Wistron’s iPhone assembly plant in Karnataka’s Kolar district, signaling the company’s ambition to enhance its capabilities in manufacturing premium electronic components.

The Hosur unit, established with a Rs 5,000 crore investment, spans 500 acres and currently employs over 15,000 people.

The proposed expansion, expected to be completed in 12-18 months, could result in a workforce of 25,000-28,000 individuals, consolidating operations in one location.

Industry insiders speculate that the move aligns with Apple’s broader strategy of increasing smartphone manufacturing in India.

Tata Electronics, the only Indian company shortlisted by Apple as a vendor, specialises in manufacturing iPhone enclosures.

The company’s expansion comes at a time when Apple has surpassed Samsung to become the leading smartphone exporter from India.

In the first seven months of FY24 (April-October), Apple exported iPhones valued at over $5 billion from India, marking a remarkable year-on-year growth of 177 per cent.