The Indian Government’s “Make in India” initiative is driving a lot of brands across categories towards manufacturing their products in India. Foxconn, the world’s leading electronics assembly manufacturer is no different either and is looking to open a facility in every state in India. A slew of smartphone brands outsource their manufacturing process to Foxconn so it is only fitting that the company wants to leverage the same to achieve lower costs.
Foxconn recently signed up a MoU (Memorandum of Understanding) with the Maharashtra Government which will be setup in Pune. This will bring in an investment of $5 billion and will be the company’s biggest investment in India till date. It will also create 50,000 jobs and reduce the account deficit the country faces due to high amount of electronics imports from China and other nations.
Terry Gou, the company’s Chairman has stated that Foxconn will try and open a facility in every state in the country in the wake of the “Make in India” initiative. Gou has further stated that instead of just manufacturing the electronics here, the company might even bring the whole electronics manufacturing ecosystem to India. It is also in talks with other companies for partnering and the officials have already visited the facilities of TCS, Shapoorji Pallonji and Tata Sons.
The investment has already sent the bells ringing in China. India is one of the fastest growing electronics market and manufacturers want to leverage the same by manufacturing electronics in the country at lower costs instead of importing them.