Apple supplier Foxconn is on the hunt for semiconductor and EV deals in India
Apple supplier Foxconn says it is seeking Indian partners to cooperate in areas such as chips and electric vehicles, as its chief executive wrapped up a visit to the country.
Taiwan’s Foxconn has been looking to expand its operations in the South Asian giant after suffering severe supply disruptions in China last year. The firm bounced back from the disruptions early this year.
“India is a country with a large population,” Young Liu, the company’s chairman and CEO, said in a Saturday statement. “My trip this week supported Foxconn’s efforts to deepen partnerships … and seek cooperation in new areas such as semiconductor development and electric vehicles.”
“Foxconn will continue to communicate with local governments to seek the most beneficial development opportunities for the company and all stakeholders,” he added.
The company, best known for making Apple
(AAPL)’s iPhones, is one of the world’s biggest contract makers of electronics. It’s now expanding into other areas including electric vehicles.
Liu did not specify any investment spending in India during his trip, which included a meeting with Prime Minister Narendra Modi.
The company already has factories in the states of Andhra Pradesh and Tamil Nadu.
On Friday, the investment promotion office of the southern Indian state of Karnataka said Foxconn had announced a major deal there and that 300 acres of land had been allocated for a facility. The investment will generate 100,000 jobs over 10 years in the state, it said.
According to a report from Bloomberg citing unnamed sources, the company plans to invest about $700 million on a new plant in Bengaluru, the capital of Karnataka, to make iPhone parts.
India has emerged as an attractive potential alternative to China for the likes of Apple. One of India’s top ministers, Piyush Goyal, said in January that Apple wants to ramp up its production in the South Asian country to a quarter of its overall total from between 5% and 7% now.
For years, Apple had relied on a vast manufacturing network in China to mass produce iPhones, iPads and other popular products. But its dependence on the country was tested last year by Beijing’s strict zero-Covid strategy, which was rapidly dismantled last December.
Apple devices are currently manufactured in India by Foxconn, Wistron and Pegatron, which are all Taiwanese companies.
– CNN’s Diksha Madhok contributed reporting