People familiar with the negotiations told the Wall Street Journal this week that Apple Inc. is turning to India to help grow manufacturing outside of China, citing rigorous Covid-19 standards in China that are limiting the company’s ability to meet the demand for its gadgets. According to some estimates, Chinese companies produce over 90% of iPhones, iPads, and MacBook Air laptops.

Analysts also told the WSJ that Apple’s desire to lessen its reliance on China is a reflection of the risks it confronts as a result of Beijing’s ‘authoritarian Communist leadership’ and its conflicts with the US.

According to the Wall Street Journal, Apple has so far declined to comment. CEO Tim Cook, on the other hand, stated in April: “Our supply chain is really international… Everything is made somewhere. We’re still looking for ways to improve.”

Because of its big workforce and low production costs, India is seen as a viable option.

Following China’s Covid-19 lock-downs, Apple projected worsening supply issues last month. According to the report, rising Covid levels (and limits) could reduce sales by $8 billion in the first quarter alone.