Foxconn Technology Group, the main supplier for Apple, has plans to invest nearly ( ₹4,100 crore) $500 million in the construction of two component factories in India, according to a report by Bloomberg News on July 31. The chosen location for these factories will be in the southern state of Karnataka. It is anticipated that at least one of these facilities will be dedicated to manufacturing Apple components, including those used in iPhones.
In March, Karnataka greenlit an investment of ₹8,000 crore ($972.88 million) by a Foxconn subsidiary, becoming the third southern Indian state, after Andhra Pradesh and Tamil Nadu, to welcome Foxconn’s ventures.
The specific sites for the upcoming facilities in the state are still under consideration, and an official announcement is anticipated to be made this week.
As of now, neither Foxconn nor Apple has responded to Reuters’ inquiries seeking comments.
Foxconn Industrial Internet has embarked on an investment initiative in India in a move to expand its investments beyond China. As part of this endeavor, the Taiwanese company has inked a significant deal with Tamil Nadu, committing to invest ₹1,600 crore in the establishment of a new electronic components manufacturing facility.
This project is expected to generate around 6,000 job opportunities for the local workforce. Foxconn Industrial Internet (FII) CEO Brand Cheng and several company representatives held a meeting with Tamil Nadu Chief Minister MK Stalin and other government officials last week, as reported by Reuters, to discuss potential investment opportunities in the southern state.
During the meeting, FII presented a plan to invest an initial amount ranging from $180 million to $200 million in the proposed facility in Tamil Nadu, as per sources cited by Reuters.
The FII facility will be situated in the Kancheepuram district, close to the state capital, Chennai, an unnamed source within the state government told Reuters.
(With agency inputs)
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Updated: 01 Aug 2023, 07:42 AM IST