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Foxconn to build iPhone assembly units in India: report

Posted: 15 Apr 2015 ?? ?Print Version ?Bookmark and Share

Keywords:Foxconn? production facilities? iPhones? Apple? Make in India?

Foxconn is looking to build three production plants in India. According to reports, the planned facilities will be used in part to assemble iPhones for Apple.

According to Patently Apple, Foxconn is looking at erecting production facilities in Gujarat and Uttar Pradesh provinces, and a small R&D and new product development plant in Andhra Pradesh.

Foxconn previously operated three plants for making phones and components for Nokia on the Chennai-Bengaluru highway, but the facilities were shut down after Nokia went belly up. This time, however, the booming smartphone sales encouraged FoxconnApple's largest contract manufacturerto return to India and produce the iPhone handsets in the country.

Sources said Foxconn will announce its expansion plans following the government's "Make in India" policy. An assembly plant in India could pave the way for Applewhich, incidentally, presented a stiff competition for top vendor Samsung in the last quarter of 2014to open flagship stores in the country.

Last year, India outshone other emerging smartphone markets in the Asia-Pacific region with a quarter-on-quarter growth of 27 per cent. IDC, however, anticipates a sluggish Q1 2015, partly due to a shipment contraction in Q4 2014.

"In the current market scenario there is a drive in demand for products pitched with high specifications at low price points. This trend is likely to continue over the next four to six quarters, after which consumers are expected to turn back to the handset vendors who charge premium for quality," said Karan Thakkar, senior market analyst, IDC India.

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