Foxconn, the world’s largest assembler of iPhones, has reached an agreement with the government of Tamil Nadu in India to invest 16 billion rupees (€176m) in a new electronic components manufacturing facility. This move is expected to create 6,000 job opportunities in the southern Indian state.
The new Foxconn FII plant will be constructed near the state capital of Chennai and will be separate from the existing sprawling campus where iPhones are assembled for Apple. The FII plant specializes in the production of electronic devices, cloud service equipment, and industrial robots. It remains uncertain whether the new facility will manufacture components solely for iPhones or if it will cater to other companies as well.
Tamil Nadu Minister for Industries TRB Rajaa expressed his satisfaction with the deal, stating, “This is a major achievement for the state.” The announcement came after a meeting between Foxconn chairman Young Liu, other representatives from the company, and state officials, including the chief minister.
During his visit to Tamil Nadu, Mr. Liu revealed that Foxconn currently employs approximately 40,000 workers in its facility near Chennai. Last year, Reuters reported that the company plans to expand its Tamil Nadu iPhone factory workforce fourfold by late 2024 in an effort to diversify its operations beyond China.
In addition to the investment in the new facility, Foxconn also signed a research and innovation agreement with the Indian Institute of Technology, Madras, and the state government’s investment arm, Guidance. This partnership aims to bring high-value technology to Tamil Nadu through Foxconn’s involvement.
The discussions between Foxconn and Tamil Nadu regarding the components investment have been ongoing for some time now. The company targets the completion of the new plant by 2024, aligning with its expansion plans.