Foxconn to invest $1 Billion in India as part of gradual shift from China. The iPhone manufacturing company, in the wake of its gradual shift process from China has decided to invest $1 billion in Tamil Nadu plant.
Which also manufactures Xaomi products, a Chinese company. Also it has plants in Andhra Pradesh. It is looking for alternatives in Asia to reduce its dependence on China. This is further augmented after the US trade war with China and COVID-19 crisis.
According to the reports Foxconn has found the Production-Linked Incentive scheme(PLI) launched by government very beneficial. It was among one of the ‘five champions’ to apply for this scheme. The investment will take over three years within this government scheme.
Reuters has also told that PLI scheme has attracted many smartphone companies. Converting India into a smartphone manufacturing hub. Especially after when most of the global companies are leaving China. And looking for alternative. Especially after the COVID-19 crisis. Which has disrupted supply chains.
Faxconn investment will add 6000 jobs at Sriperumbur plant in Tamil Nadu. This is considered to be part of investments. Earlier the plant has manufactured older versions of iPhone, and also iPhone XR, Apple’s cheap flag-ship iphones.
