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Foxconn, maker of Apple’s iPhones, invests US$1.6 billion in India expansion plan amid diversification from China

arifnsn November 28, 2023

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iPhone maker Hon Hai Precision Industry plans to expand its footprint in India with another NT$50 billion (US$1.6 billion) investment for construction projects.

The announcement, made in an exchange filing in Taiwan late on Monday, did not give any further details, saying only that the investment was for “operational needs”. A spokesman for the company declined to say where the new facilities would be or what they would build.

The news comes as Hon Hai, also known as Foxconn Technology Group, and other Taiwanese electronics contract manufacturers continue to diversify their businesses outside China, as tensions rise between Washington and Beijing.

About half of Foxconn’s revenue comes from business with Apple. The company has been making iPhones and other products in India for several years, including the latest iPhone 15. In September, a Foxconn representative in India said on LinkedIn that the Taiwanese company plans to double the size of its business in the South Asian country.

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India’s Karnataka state government in August announced that Foxconn planned to invest US$600 million on two component factories in the southwestern state. That included a plant that will make mechanical enclosures for iPhones and a semiconductor equipment manufacturing plant Foxconn will operate with Applied Materials, the government said at the time.

Those two projects are on top of a US$700 million facility Foxconn aims to build on a 300-acre (121 hectares) site close to the airport in Bangalore, capital of Karnataka, Bloomberg News previously reported. That plant is likely to assemble iPhones.

It was not immediately clear if the latest investment announcement is to cover those projects or additional ones.

Foxconn already operates nine production campuses and more than 30 factories employing tens of thousands of people in India, where it takes in around US$10 billion of revenue annually.

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