Foxconn Chairman Young Liu has said the Taiwanese contract electronics maker will increase its India operations by setting up more industrial parks around the country, especially in the South. Liu said Hon Hai Technology Group has steadily increased its revenue, number of employees, and investment scale since its entry into the country in 2005.
"At present, it is mainly engaged in the ICT final assembly business. Going forward, Hon Hai will actively deploy work in the area of key components to raise its competitiveness in India," Liu said, according to IANS.
Liu's statement comes a month after Foxconn withdrew from a joint venture with India's Vedanta to make semiconductors.
Industrial Parks
"Through close cooperation with central and local governments, Hon Hai will plan to establish industrial parks and optimise the business environment in terms of infrastructure, policies and laws," Liu said while announcing Foxconn's second quarter results.
He said Foxconn will deploy more resources in Karnataka and Telangana, besides going ahead with proposed centers in Andhra Pradesh and Tamil Nadu -- all southern Indian states. Foxconn has a manufacturing facility in Tamil Nadu where it assemble iPhone for Apple.
The Taiwanese contract manufacturer of Apple products has mammoth factories in China but it has been gradually shifting focus to India in recent years. Now, Foxconn factories in China and India assemble more than 70 percent of all iPhones. For decades China was the backbone of the global supply chain, but the post-Covid era has seen solid changes in that pattern. India has emerged as one of the favorite destinations for global giants to set up production units and back-end operations.
Focus on Southern States
In March this year, Foxconn said it will invest more than $200 million in a new plant in India to make Apple Airpods. Production is expected to start by the end of 2024.
Also in March, it was reported that Foxconn was readying plans for a $700 million production hub in India. Apple partner Foxconn Technology Group will set up the new plant in India's southern technology hub of Bangalore, reports said.
Late last month, Bloomberg reported that Foxconn Technology Group was planning to invest $500 million to build two component factories in the southern India state of Karnataka.
Earlier, the Taiwanese company had signed a deal with Tamil Nadu, another southern Indian state, to invest 16 billion rupees in a new electronic components manufacturing facility.
Also in July, Foxconn approved the infusion of another $400 million into a subsidiary company that is building an accessories plant in the southern Indian state of Telangana.
In Tamil Nadu, where Foxconn has a manufacturing plant, the company will invest $197 million, the company said in July. This plant makes electronic components, and the additional funding will create 6,000 jobs. According to reports, Foxcoon is looking to quadrupling the workforce at its Tamil Nadu iPhone factory by 2024.
