Foxconn Technology Group has received approval to inject at least $1 billion more into its upcoming plant in India, dedicated to manufacturing Apple products. This substantial increase represents a significant step in Foxconn’s strategic efforts to establish a key manufacturing hub outside of China, according to reports from Bloomberg.
With this additional capital injection, Foxconn’s total investment in the facility is set to reach approximately $2.7 billion, positioning it as a crucial element in the company’s manufacturing footprint in India. The approval comes following the Karnataka state government’s confirmation of a $1.67 billion investment, solidifying Foxconn’s commitment to expanding its operations in the region.
As the largest contract manufacturer globally, responsible for assembling around 70% of iPhones, the Taiwan-based tech giant is determined to diversify production beyond China. This shift is in response to disruptions caused by the COVID-19 pandemic and increasing geopolitical tensions.
Over the past year, Foxconn has significantly increased its presence in India, directing substantial investments towards manufacturing facilities in the southern part of the country. In Karnataka state, the company announced plans in August for a $600 million investment spanning two projects focused on producing casing components for iPhones and specialized chip-making equipment.
Expected to commence iPhone production by April 2024 in the southern state, this project is estimated to create approximately 50,000 job opportunities. Insiders reportedly suggest that the newly secured funds will likely support expanded capacities for various Apple devices, potentially including the iconic iPhone, although specific details are confidential as the information is not publicly disclosed.
