Taipei--Taiwan's Hon Hai Precision Industry Co. (??), the world's largest contract electronics maker, is planning to build a production site in Bengaluru in southern India, according to the Deccan Herald.
If the investment plan proceeds as reported, the complex will be the Taiwanese manufacturing giant's third production base in India following those located in Navi Mumbai and Sri City, the Indian daily newspaper said Monday.
The report cited unnamed officials close to the deal as saying that Hon Hai's investment plan will coincide with the investment made by Wistron Corp. (??), which has started to assemble the smaller iPhone SE models in Bengaluru, the capital of the state of Karnataka.
"Foxconn has already announced it will set up 12 factories in India and create about 1 million jobs. Bengaluru is an ideal place where an electronic manufacturing ecosystem is already in place with the presence of major public and private companies," a Taiwan consulate official was quoted as saying in the report.
The sources told the newspaper that Hon Hai, known internationally as Foxconn, has appeared keen to work with the authorities in Karnataka on possible investment in Bengaluru, which has been described as India's Silicon Valley.
"The company finds the government in Karnataka very proactive led by an young and dynamic IT minister Priyank Kharge, who is very much interested in expanding the state's manufacturing capability in the electronic sector," the sources said.
In the report, the minister said the Indian state has always framed policies to help companies set up there, as seen with the arrival of Apple and its original equipment manufacturing service provider Wistron.
Hon Hai's decision to invest in Bengaluru is simply "a natural corollary to that," the minister said.
Hon Hai has embarked on a project to establish 10-12 facilities in India by 2020 as part of its efforts to extend its global reach in manufacturing.
It has also been eager to find partners to develop green energy, mobile Internet, and e-commerce in the South Asian country.
The Taiwanese manufacturing giant currently bases most of its production in China, where it has a workforce of more than 1 million people.
In addition to Asian markets, Hon Hai has entered talks with authorities in the United States to pour funds into the U.S. market to better serve its American customers.
Source: Focus Taiwan News Channel