Foxconn Anticipates 'Billions' in Investment Opportunities in India
Taiwan's Foxconn, having withdrawn from an ambitious chip factory project in India, maintains a positive outlook on the country's potential and is gearing up for significant investments, aligning with the trend of multinational corporations seeking to diversify their supply chains beyond China.
Chairman Young Liu shared during a recent earnings call that Foxconn's operations in India contribute nearly $10 billion, accounting for approximately 5% of the company's annual turnover, which amounted to $6.627 trillion new Taiwan dollars ($207 billion) last year.
Responding to a CNN query, Liu noted the favorable energy in the Indian market, emphasizing that the envisioned investments are just the initial phase. He highlighted India's expansive market size and the potential for fully implementing Foxconn's plans.
Liu also identified promising opportunities for expansion, particularly in the production of essential components for consumer electronics and electric vehicles (EVs), a key growth segment for the company.
With more than 30 factories in India and 20 dormitories accommodating tens of thousands of workers, Foxconn, renowned for its production of Apple's iPhones, initiated its Indian operations in 2006.
While Foxconn's exit from a $19.4 billion chipmaking joint venture with Vedanta in July was perceived as a setback to New Delhi's ambitions of establishing a tech manufacturing hub, the company has since affirmed its commitment to Indian chipmaking. Foxconn aims to leverage a government program that provides subsidies for the establishment of semiconductor or electronic display production facilities.