DBT Bureau
Bengaluru, 23 August 2024
Electronics manufacturing giant Foxconn has infused about Rs 1,200 crore ($144 million) into its Karnataka-based Foxconn Hon Hai Technology India Mega Development Pvt Ltd as the company is planning to set up one of its largest manufacturing units outside China.
In a regulatory filing, the company said, the iPhone contract manufacturer’s Singapore-based arm Foxconn Singapore Pte has bought over 120.35 crore stocks of Foxconn Hon Hai Technology India Mega Development Pvt Ltd at Rs 10 per share on August 21.
Last week, the Karnataka government announced that Foxconn intends to invest around Rs 25,000 crore in its upcoming plant near Dodda Ballapur in Karnataka. Through this investment, the unit is expected to generate 40,000 direct jobs.
In a statement, Foxconn Chairman Young Liu has also confirmed that the upcoming Karnataka unit would become the second-largest Foxconn plant globally, after its facility in China. “The unit in Karnataka will soon become the second-largest Foxconn plant after China’s unit. It will create 40,000 direct jobs, especially for middle-level educated individuals, and our investment will not stop here; in the future, we plan to explore other sectors also,” Foxconn Chairman Young Liu has said.
With the latest funding, Foxconn Singapore’s total investment in the Karnataka unit now stands at over Rs 13,800 crore. The state government has allocated 300 acres of land for the construction of the mobile manufacturing plant.
Foxconn is one of the largest producers of Apple products and it is expected that the upcoming Karnataka plant will manufacture Apple gadgets along with other electronic items.
During April-May, iPhone exports from India hit $2 billion as its contract manufacturers- Foxconn, Wistron, Pegatron accelerating manufacturing in their plants.
Apple, which has the world’s largest global value chain (GVC), closed FY24 in India with a total iPhone production of $14 billion in free-on-board (FOB) value.
