iPhone manufacturer Hon Hai Precision Industry Co, also known as Foxconn, intends to increase its presence in India by investing an additional NT$50 billion ($1.6 billion) in construction projects, as disclosed in a Taiwan stock exchange filing on November 27. The filing provided limited information, stating that the investment is for “operational needs,” and a company spokesperson refrained from specifying the location or the nature of the new facilities.
Taiwanese Electronics Manufacturers, Such as Foxconn, Expand Operations Beyond China Amidst U.S.-China Tensions
This move aligns with the broader trend of Taiwanese electronics manufacturers, including Foxconn, diversifying their operations beyond China amid escalating tensions between Washington and Beijing. Approximately half of Foxconn’s revenue is derived from its partnership with Apple Inc. The company has been manufacturing iPhones and other products in India for several years, including the latest iPhone 15. In September, a Foxconn representative in India announced on LinkedIn that the company aims to double its business size in the country.
Foxconn’s Multi-Million Dollar Investments in Indian Expansion: Unraveling Plans for Component Factories and Ambiguities in Latest NT$50 Billion Announcement
Earlier in August, the Karnataka government disclosed Foxconn’s plan to invest $600 million in two component factories in the southern Indian state. This included a plant for producing mechanical enclosures for iPhones and a semiconductor equipment manufacturing plant in collaboration with Applied Materials Inc. Additionally, there were reports of a $700 million facility that Foxconn intends to establish near the Bengaluru airport, likely focused on iPhone assembly.
The latest announcement of a NT$50 billion investment does not explicitly clarify whether it pertains to these existing projects or encompasses additional initiatives. Foxconn already operates nine production campuses and over 30 factories in India, generating approximately $10 billion in annual revenue and employing tens of thousands of individuals.
