A recent report indicates that Google is considering shifting the production of its Pixel smartphones from Vietnam to India. Alphabet, Google’s parent company, has reportedly engaged in discussions with its manufacturing partners in India to increase the production capacity of Google Pixel devices within the country. This move is aimed at accelerating Google’s strategy to expand its manufacturing footprint in India over the coming years. Similar to Apple, the company seems to be adjusting its operations in light of the tariffs imposed earlier this month by US President Donald Trump on several nations, including Vietnam and India.
Alphabet in Negotiations with Dixon and Foxconn
According to two executives cited in a report by The Economic Times, Alphabet initiated a round of discussions with manufacturers Dixon and Foxconn earlier this month, aiming to relocate a segment of Google Pixel smartphone production to India. The company is also urging its partners to procure components such as fingerprint scanners, batteries, and chargers locally rather than relying on imports.
The report highlights that Google’s manufacturing partners already produce up to 45,000 Google Pixel smartphones monthly in India, primarily for the domestic market. The production of these devices began in August 2024 with the rollout of the Pixel 8.
While Google had previously intended to shift Pixel production to India, recent developments suggest that the company is accelerating these plans. Once production in India scales up, Google aims to export these devices to the US market, mirroring Apple’s operational strategy.
The discussions with Dixon and Foxconn are also a response to the new tariffs instituted by the Trump administration, which include significant levies on imports from China (up to 145 percent), Vietnam (46 percent), and India (26 percent), among other countries. Meanwhile, the US has temporarily suspended these tariffs for most countries, with the exception of China, for a 90-day period.
The extent of production that will transition to India remains uncertain as Google navigates the implications of tariffs affecting China and Vietnam. If the company’s partners succeed in sourcing components locally, this could potentially lead to a reduction in costs for the smartphones in the future.