Taiwanese electronics giant Foxconn has bought a huge piece of land on the outskirts of India’s Bangalore tech hub, Apple’s most sensible supplier said in a presentation on Tuesday (9).
Also known by its official name, Hon Hai Precision Industry, Foxconn is the global manufacturer of contract electronics and one of Apple’s leading iPhone assemblers.
Both corporations will diversify away from China, where much of their production is based, after strict Covid policies in recent years and continued diplomatic tensions with U. S. damage production. U. S.
The acquisition of 1. 2 million square meters (13 million square feet) in Devanahalli, near the airport for the Bengaluru tech hub in India, was announced in a statement to the London Stock Exchange.
Its subsidiary Foxconn Hon Hai Technology India Mega Development paid 3 billion rupees (£29. 3 million) for the site, it said.
Another Foxconn unit in the process of obtaining land use rights at a 480,000-square-meter site in Vietnam’s Nghe An province, he added.
Karnataka’s leading minister, Basavaraj S Bommai, said in March that Apple would “soon” manufacture iPhones in a new factory in the state, creating “around 100,000 jobs. “
Bloomberg News reported that month that Foxconn planned $700 million (£554. 9 million) on a new factory in Karnataka the same month, bringing up anonymous sources.
Foxconn Chairman Young Liu visited the state to “deepen partnerships. . . and seek cooperation in new spaces such as semiconductor progression and electric vehicles,” he said in a statement.
He also met with Prime Minister Narendra Modi, who said the couple’s “discussions focused on issues aimed at enhancing India’s generation and innovation ecosystem. “
Foxconn has been producing Apple phones in India since 2019 at its factory in the southern state of Tamil Nadu.
Two Taiwanese suppliers, Wistron and Pegatron, also manufacture and assemble Apple devices in India.
Apple has made its own breakthrough in India and leading executive Tim Cook last month opened his first two retail outlets in the world’s most populous country.
The California-based company is important in the country of 1. 4 billion more people, home to the second-largest number of smartphone users in the world, after China.
The world’s largest corporate market is also expanding its production footprint in India.
Apple announced last September that it would manufacture its new iPhone 14 in India, weeks after the launch of the flagship model.
Last year, the country accounted for 7% of Apple’s iPhone production, according to Bloomberg, behind the United States, China, Japan and other countries.
Apple’s expansion of production in India is a spice for Modi’s “Manufacture in India” strategy, in which he has suggested foreign corporations make products in the South Asian nation.
(AFP)