Technology
Monday, November 27th, 2023 3:19 pm EDT
Key Points
- Substantial Investment in Indian Construction Project: Foxconn Technology, a key Apple supplier, is set to invest over $1.5 billion in an Indian construction project to meet its operational requirements. The investment is channeled through Foxconn subsidiary Hon Hai Technology India Mega Development, registered in Maharashtra state since 2015.
- Diversification Away from China: Foxconn’s significant operations in mainland China, critical for Apple’s iPhone manufacturing, were adversely affected by Covid-19 lockdowns in 2022 and geopolitical uncertainties. The move to invest heavily in India reflects a broader trend among Apple suppliers, like Foxconn, to reassess their concentrated presence in China due to various challenges.
- Continued Investment in India: Foxconn’s latest investment in India follows previous announcements of multiple projects in the country, including a $600 million initiative in Karnataka state and a $500 million factory in Telangana state. This demonstrates Foxconn’s commitment to diversifying its manufacturing operations and strategic investments within India.
Foxconn Technology, a major Apple supplier, has announced a significant investment of over $1.5 billion in an Indian construction project to meet its “operational needs.” The investment was made through Foxconn subsidiary Hon Hai Technology India Mega Development, registered in Maharashtra state since 2015. The subsidiary plans to allocate an equivalent amount in Indian rupees for the construction project. This move aligns with a broader trend of Apple suppliers, including Foxconn, reassessing their reliance on China due to factors like Covid-19 lockdowns and geopolitical challenges. Foxconn has previously announced projects in India, such as a $600 million initiative in Karnataka state and a $500 million factory in Telangana state. The latest investment follows Foxconn’s withdrawal from a $19.5 billion chipmaking joint venture in India a few months ago, citing a “mutual agreement,” while expressing confidence in India’s semiconductor industry ambitions.
For the full original article on CNBC, please click here: https://www.cnbc.com/2023/11/27/apple-iphone-maker-foxconn-to-invest-1point5-billion-in-india-expansion.html
