Foxconn has been reported to be looking for expanding its electric vehicles (EVs) manufacturing market in India.
“Foxconn has evinced interest as a group in manufacturing other lines — their own (and) for their clients — apart from the phones that they currently manufacture,” a person in the know who did not wish to be named said.
A second official on the condition of anonymity said the Taiwanese major is also eyeing the potential demand for EVs in the Indian market.
“Initially there was no plan to manufacture in India but recently Foxconn has been studying the Indian automotive market and is considering foraying into India as well as Vietnam and Indonesia to expand its manufacturing base to other markets,” said one person cited above.
At present, in addition to an exclusive facility — outside Chennai — manufacturing Apple’s phones, Bharat FIH, formerly known as Rising Stars Mobile India, a Foxconn Technology Group Company operates another unit nearby, which manufactures phones for Chinese brands including Xiaomi.
Foxconn also laid out a pan-national electric vehicle supply chain that will involve local partnering and targeting of local markets, part of its ‘de-globalization and regional manufacturing’ agenda. “We have begun cooperation with Thailand PTT to establish and cultivate the electric vehicle industry in Thailand and will commence building a factory this year. We have also cooperated with Indonesia and Saudi Arabia and will also build EV and battery-related supply chains in these two countries in the future,” said the company in its latest report.
Pankaj Mohindroo, Chairman of the Indian Cellular and Electronics Association, said the growing interest in EV manufacturing in India follows the success story of foreign players making electronics devices in India.
“Manufacturing moves to the most competitive geographies,” he said. “With its slew of policies India has emerged as a strong contender for electronics and even EV supply chains and manufacturing. The two sectors — electronics and EV — are very alike and therefore the big thrust of electronics supply chain players into EV supply is a natural extension.”
Foxtron, company’s EV venture, may consider manufacturing in India in addition to other locations in South East Asia such as Vietnam and Indonesia.
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