2023-05-09 07:55:00
Foxconn has purchased a huge piece of land in the suburbs of Bangalore, India’s Silicon Valley, the Taiwanese tech giant said in a stock market filing on Tuesday. Apple’s main supplier is looking to diversify its production outside of China.
The acquisition of 1.2 million square meters in Devanahalli near Bangalore Airport, considered India’s Silicon Valley, was announced in a statement to the London Stock Exchange.
Its subsidiary Foxconn Hon Hai Technology India Mega Development bought the site for 3 billion rupees (regarding 33.5 million francs).
The group said in the same document that another Foxconn unit was in the process of acquiring the rights to use a 480,000 square meter piece of land in the Vietnamese province of Nghe An.
Responding to the official name of Hon Hai Precision Industry, Foxconn, is the world’s largest contract electronics manufacturer and main assembler of iPhones.
The giant has been manufacturing Apple devices in India since 2019, in a factory located in the southern state of Tamil Nadu.
Both companies are looking to diversify their business outside of China, where most of their production is located, given last year’s strict Covid policies and ongoing diplomatic tensions with the United States which have harmed production.
Karnataka State Chief Minister Basavaraj S. Bommai announced in March that Apple would “soon” manufacture iPhones at a new factory in the state, creating “regarding 100,000 jobs”.
In the same month, Bloomberg News reported, citing unnamed sources, that Foxconn planned to invest $700 million in a new factory in Karnataka.
In a statement from the group in March, Young Liu, chairman of Foxconn, had visited the state to “deepen partnerships (…) and seek cooperation in new areas such as the development of semiconductors and electric vehicles”.
He had also met with Prime Minister Narendra Modi, who said the “discussions covered various topics aimed at strengthening India’s technology and innovation ecosystem”.
Two other Taiwanese groups, Wistron and Pegatron, manufacture and assemble devices of the American brand in India.
Last September, Apple announced that it would manufacture its latest model, the iPhone 14, in India.
This article has been published automatically. Sources: ats / awp / afp
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