Foxconn is looking for an alternative to China, making India look attractive since its viable manufacturing center is getting stronger.
The major Apple supplier gained a 300-acre land parcel in the state of Karnataka, which is India’s IT hub. It invested $37.00 million in a new mobile manufacturing plant.
Moreover, the shift points toward the Taiwanese electronics production giant’s operation expansion in the country. Besides, its Chairman, Young Liu, recently visited New Delhi.
According to the chief of Foxconn, there was interest in producing semiconductors and electric vehicles in India.
Furthermore, the company has an iPhone and other smartphone-making facilities around the country’s Southern states. It recently signed a contract to invest in Telangana state and 200 acres provided by the local authority.
Based on experts, they look forward to a firm announcement about the launch and other project details this week.
A vital factor in driving the growing investor interest in India is its production-linked incentive scheme of the government.
Global manufacturers such as Foxconn see India as an alternative investment venue. Also, its better supply chain and improved business policies to avoid bureaucratic conflicts are vital.
In addition, the country has been a bit slow in taking advantage of the dual-market trend. However, the recent gains from investments eliminated struggles for foreign investors that want to build large production sites.
EV Production Planned by Foxconn
Since the consumer interest in electric vehicles (EV) is growing, one of Apple’s major suppliers, Foxconn, is pushing into the industry.
Furthermore, the US expects an increase in electric vehicle sales by 35.00% in 2023.
The previous month, Foxconn completed the first five driver-optional electric smart tractors. It is a part of its partnership with Monarch. It plans to produce other vehicle models in 2024.
According to the company, its goal is to find the upcoming potential leading automaker. Also, it would utilize more effective and wise processes to build vehicles, providing customers with acceleration toward the electromobility trend.
Besides, Foxconn announced on October 2020 that it was planning to diversify its business and enter the EV market.