Tensions with China hampering India’s iPhone production ambitions

Even as India’s efforts to build more the iPhone and iPad in the country grow, political wrangling related to tensions across the border with China are causing problems with the effort.

As tensions, if not outright combat, across the India and China border have escalated, the India government has started restricting work visas on China nationals. As the preferred visas are employment visas instead of business visas, Apple’s manufacturing partners are finding it hard to get the people across the border that are needed to set up the production lines in the first place.The issued visas lead to “double taxation” on the workers, says the report. Apparently, the legality of the visa issued means that as the workers are still employed by the China-based company, they are being taxed in India and China for work performed in India.

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