Tata Group makes major announcement: Acquires Chinese company
According to CNBC International, iPhone manufacturing in India is set to receive a new boost. Tata Electronics has acquired the Indian unit of China’s Justech Precision for approximately $100 million (₹835 crore). Through this deal, the Tata Group aims to further strengthen its hold on Apple’s supply chain. The transaction was completed in August, with HSBC and HDFC Bank as advisors. This deal could prove to be a game-changer for Apple’s ‘Made in India’ mission in India.
Tata Electronics, a subsidiary of the Tata Group, has acquired the Indian unit of Chinese industrial manufacturing company Justech Precision. According to sources, the deal was completed for approximately $100 million (approximately ₹835 crore).
Learn about the deal…
Justech Precision, headquartered in Kunshan City, Jiangsu Province, China, has been a supplier to Apple since 2008. The company manufactures industrial equipment and computer numerical control (CNC) machines, which are supplied to companies like Foxconn, Apple’s largest assembler.
Justech Precision Industry India Pvt Ltd was established in India in late 2019, and the unit is located in Tamil Nadu. With this acquisition, Tata Electronics’ iPhone production capacity will be significantly expanded.
Tata Electronics already assembles iPhones for Apple. In January 2025, Tata acquired a 60% stake in Pegatron’s Indian unit, which operates an iPhone assembly plant near Chennai. The value of this deal was not disclosed at the time.
Apple aims to have all iPhones sold for the US market manufactured in India by the end of 2026. To this end, both Tata and Foxconn are rapidly expanding their production capacity.
Foxconn accounts for approximately two-thirds of iPhones manufactured in India, while Tata Electronics produces approximately one-third. According to Neil Shah, co-founder of market research firm Counterpoint Research, this balance could soon shift as Tata expands its manufacturing capacity.
Tata Electronics has two manufacturing plants in Tamil Nadu and one in Karnataka, the same unit previously owned by Wistron.
Increasing trade tensions and high tariffs between the US and China have forced Apple to turn to India. The lockdown in China during the pandemic severely impacted iPhone production.
US President Donald Trump imposed triple-digit tariffs (up to 100%) on goods imported from China. Although he later granted a temporary exemption, Apple accelerated the process of shifting production out of China.
Apple currently manufactures most of its iPhones in China, but India is now becoming its second-largest production hub.
This Tata Electronics deal is not just a purchase, but a significant step towards self-reliance in India’s iPhone supply chain. This deal will further strengthen Tata’s manufacturing partnership with Apple and elevate India to new heights on the global tech manufacturing map.
