In a major blow to Apple Inc.’s manufacturing push in the South Asian country, Foxconn Technology Group has asked Chinese employees working at its iPhone factories in India to return home, foreign media reported.

The move was reportedly taken due to Chinese restrictions on labour and tech exports, which could disrupt Apple's scaling efforts in India and affect the broader 'Make in India' initiative aimed at transforming India into a global electronics manufacturing hub.

Foxconn is Apple's biggest iPhone assembler. It has a plant in Chennai, which is primarily known for assembling iPhones. It is not immediately clear why Foxconn has asked asked its Chinese engineers and technicians to leave India.