India confirms subsidies for Apple suppliers Foxconn, Lenovo and 25 other tech hardware companies, boosting country’s electronics supply chain ambitions

India will provide grants to some of the world’s largest high-tech hardware companies, including apple supplier foxconn technology group and the computer giant lenovo groupUnder a plan to boost domestic manufacturing and strengthen the South Asian country’s goal of becoming a major hub in the global electronics supply chain.
New Delhi has approved the subsidy applications of 27 companies. Dell, HP According to an official statement on Saturday, AsusTek Computer and AsusTek Computer have been awarded a contract under the country’s Production-Linked Incentive (PLI) scheme, which covers domestic assembly of desktop and laptop personal computers (PCs), tablets and other high-tech hardware. It became a target.

“Of the 27 approved applicants, 23 are ready to start manufacturing from day zero,” said Ashwini Vaishnaw, India’s Minister of Railways, Telecommunications, Electronics and Information Technology. “Within the next 90 days, he expects four companies to begin production.”

On the other hand, Apple’s contract manufacturers Luxshare Precision Industry Co., Ltd. The company denied reports that it had pulled out of a US$330 million deal in India, insisting it had “never made any such investment decision”. shenzhenThe listed company said this on Monday in response to a question raised on the stock exchange’s investor platform.
Workers work on an assembly line at Foxconn Technology Group’s manufacturing facility in Sri City, a special economic zone in the Tirupati district of Andhra Pradesh state in southeastern India. Photo: YouTube

According to a statement from the Government of India, with a total investment of USD 360 million, PLI approved companies will directly create 50,000 jobs under the scheme and indirectly around 150,000 more jobs. We hope that it will create jobs for people. The estimated production value of information technology hardware will reach USD 42 billion.

The approval of the new grant follows the initial PLI phase last year. smartphone Manufacturing has provided government incentives to the Indian arm of Taiwanese company Foxconn. Hon Hai Precision Industry.
New Delhi’s PLI push is an essential part of the PM narendra modiThe ‘Make in India’ campaign, launched in 2014, aims to help the world’s most populous country Accelerate economic transformationas more global manufacturers diversify their production from mainland China.

While the PLI system will help push Mr. Modi’s agenda to transform India into a new high-tech manufacturing hub, it will also help New Delhi reduce dependence on Chinese imports and increase government oversight of Chinese companies entering the market. I’m aiming.

India is on the ‘brink of change’ as global manufacturing looks beyond China

Lenovo’s PLI approval, the world’s largest PC vendor, comes after other Chinese tech companies find themselves in trouble in India amid rising geopolitical tensions between Beijing and New Delhi. .

Xiaomi is engaged in a legal battle with Indian authorities. Unfreeze approximately US$670 million in funds It was seized from the company’s local subsidiary in April last year on suspicion of foreign exchange violations.
India’s ED, which is responsible for fighting financial crimes, had accused Xiaomi India of sending suspicious money to three foreign companies over the years.High Court of India in April this year rejected Xiaomi’s appeal Get the government to return the seized funds.

Apple supplier Foxconn aims to double jobs and investment in India

Earlier this month, Luxshare Approval received for additional investment of USD 330 million At a factory in Bac Giang province in northern Vietnam. This amount brings the company’s total investment to USD 504 million in its Vietnam facility, where it will manufacture communication equipment, stylus pens, smart location tags, and cables for smart watches.

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