An Indian pollution regulator has accused a Tata components factory supplying Apple iPhones of contaminating groundwater near farmland with wastewater, raising the prospect of a forced shutdown unless the company provides a satisfactory response.
The plant, located in Hosur in southern Tamil Nadu state, produces back panels and other components for iPhones and plays a key role in Apple’s strategy to diversify its supply chain beyond China.
According to a notice from the Tamil Nadu Pollution Control Board, multiple inspections between December 2025 and May 2026 found evidence that wastewater from the facility was discharged into a rainwater harvesting pond inside the site, which then overflowed into surrounding agricultural land.
The regulator said this led to contamination of groundwater in nearby open wells used by farmers, following months of complaints from local landowners.
The notice also stated that Tata Electronics had failed to implement corrective measures previously instructed in a letter issued in December 2025. It warned that the company must explain why power to the unit should not be cut and operations suspended for breaching environmental rules.
Tata Electronics said it had commissioned an independent study through an accredited laboratory, which found the site was “in full compliance with all regulatory norms”. The company said it remained committed to environmental protection and responsible business practices, and confirmed it had responded to the authorities.
Apple, which imposes strict environmental requirements on its suppliers, did not immediately respond to requests for comment from Reuters.
Companies have often faced disciplinary action from pollution authorities in India. In 2024, Mercedes-Benz improved wastewater and air pollution management at its only car factory in India, after officials detected lapses in compliance with environmental law.
New Delhi's Environment Ministry told the Indian Parliament in February that 4.4 per cent of 544,364 industries were found non-compliant with environmental standards in the last five years, and 3,600 were shut down by pollution control departments.
The Hosur investigation adds to a series of challenges faced by Apple’s expanding supply chain in India, including previous disruptions at Tata’s site and other supplier facilities due to fires and compliance issues.
India is expected to significantly increase its role in global iPhone manufacturing in the coming years, as Apple continues to shift production away from China.
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