- Bloomberg reported Friday that Foxconn will build a new 300-acre facility in Bengaluru, India, as part of an ongoing effort to distance itself from China.
- This effort will be one of Foxconn’s largest investments in India.
Source: Thomas Peter | Reuters
Bloomberg reported on Friday that Foxconn, one of Apple’s largest suppliers and major manufacturer of iPhone components, will invest about $700 million to build a new factory in the Indian state of Karnataka. The report comes as US companies continue to reassess their dependence on China in the wake of escalating tensions between the US and the Chinese government.
Bloomberg, citing people familiar with the matter, said Foxconn will build an iPhone parts factory on a 300-acre site near Kempegowda International Airport in Bengaluru. Bengaluru, also known as Bangalore, is the capital of the state of Karnataka, which is located on the southwestern coast of India and has one of the highest levels of GDP per capita of any Indian state.
Government officials confirmed Bloomberg’s reports on Friday, writing that the new plant will create 100,000 jobs. Bloomberg reported that the effort would be one of Foxconn’s largest investments in India.
Bengaluru in particular is one of the leading engineering and technology hubs in India.
Foxconn and technology suppliers more broadly are looking to diversify outside China, which has traditionally been a manufacturing hub, in the wake of devastating Covid lockdowns and a manufacturing slowdown. These closures sparked widespread national opposition, and videos of Foxconn employees fleeing the company’s iPhone manufacturing facility circulated widely on Western social media.
India and Vietnam have emerged as major competitors, replacing China’s dominance in manufacturing and supply. CNBC previously reported on comments from Indian government officials that claimed that Apple sought to increase production in India to 25% of its total production. Foxconn already maintains a presence in India with a factory near Chennai in eastern India.
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