Foxconn to invest $1 billion to expand plant in India
Apple supplier Foxconn to invest $1 billion to expand plant in India
Taiwanese multinational electronics manufacturer Foxconn, is planning to invest in India. Foxconn plans to invest up to $1 billion, or around Rs 7,500 crore, to expand its existing plant in Chennai’s Sriperumbudur. Foxconn is a contract manufacturer that assembles Apple iPhones as well as phones for other brands like Xiaomi.
As per the Reuters report, The planned investment in the Sriperumbudur plant will take place over three years. The development as Wistron another Apple contract manufacturer planning massive investment in its plant in Karnataka.
Reportedly most of the companies are planning a gradual production shift by Apple away from China. In this manner, they are trying to reduce their dependence on China. The move-in production out of China has been underway since the trade war between Washington and Beijing.
Having Apple widen its presence will be a boost for Prime Minister Narendra Modi’s flagship “Make In India” drive. As this move by Foxconn is beneficial for the Indian economy. It is expected to add 6,000 more jobs at its Chennai’s Sriperumbudur plant where iPhone XR is made, besides other phones.
“There’s a strong request from Apple to its clients to move part of the iPhone production out of China,” one of the sources with direct knowledge of the matter told Reuters.
Both Foxconn and Apple have refused to comment on the move.