So what is the Assembled in China on my iPhone SE all about then?
And not just mine.
One question to ask is how does Apple define “assembled”?
The iPhone contains parts manufactured all over the world. As long as all of those parts converge on time at an assembly point, it doesn’t really matter where they’re made. One reason China is a desirable location for iPhone factories is because most of the parts they need are being manufactured in China, and don’t have to be stored in great quantities — just-in-time manufacturing and delivery is Apples specialty.
So the India plant may well be making various parts, like the case for instance, and shipping those to China where they’re assembled by their well trained workers.
The other question to ask is just what parts of the SE is India producing? As I alluded to above, India may only be making certain parts of the SE like the aluminum case, and shipping those to China for assembly. But it’s more complicated than that. My understanding for Apple backing the India plant was so it could open Apple stores in India, for which a requirement was a certain percentage of the product being made in India. Since Apple needs a low-priced iPhone for the India market, the SE is a logical product. It’s unclear whether the entire thing needs to be made there or not, or whether Apple can ship parts made in India to China for assembly and reimport them for sale and still qualify for their waiver to open Apple stores.
It’s entirely possible Apple assembles entire SEs in India for the Indian market, and ships parts to China for others, where they have a much larger and trained workforce. Note that these SEs say Assembled in China, but also have an FCC notice, which is unique to US phones only. So parts of those phones could have easily originated in India, and been assembled and segregated for export in China.
Despite Apple having stopped selling the SE directly in the US, I’m not sure they aren’t still making it in India for other developing markets.
Another pet theory I have been floating since the 5c, might also explain what’s happening with the prospects for an SE2. I think one reason we got the 5c, was not so much about making a cheaper phone with higher margins, as it was freeing the infrastructure to physically manufacture milled aluminum iPhones. The 5 was the first such phone, and in order to continue making the 5s, they need an alternative to keep up with demand for the 5, so they switched to an easier to make case they could manufacture anywhere. Meanwhile, they built out custom factories which could meet the demand for the 5s, and forthcoming 6 and 6 plus, as well as the SE, which was even delayed following the 6s. Within two years Apple went from making one all-aluminum, to 6 (7 if they had to make the 5c out aluminum as well)!
So, that could explain the SE and SE2 as well. Apple only has so much manufacturing capacity, expanding to the India facility as a dedicated SE plant means they have to shut it down in order to convert it over to the SE2, or at least part of it, which would otherwise limit the volume they could produce. As a result they stop selling it through Apple in the US, knowing they can’t meet demand. The clearance then could be the result of overestimating supply prior to announcing the new models which saw people holding off purchases until September, but didn’t want to dump them on the market before the holidays, which is why they’re turning up now. And since they have the FCC markings for the US market, they can’t really ship them to another country.