Major Apple Manufacturer Pegatron To Invest $150 Million To Make iPhone In India
This was spotted in the company¡¯s filing with the Taiwanese Stock Exchange program. While the amount doesn¡¯t clearly say what it will be used for, it simply states ¡®long term investment.¡¯
It's been a while since we¡¯ve been seeing brands like Samsung, Xiaomi and even Apple take interest in manufacturing and exporting their products from India, providing employment & training and creating a skilled workforce.
BCCL
And now, another Apple contract manufacturer is looking to start manufacturing devices in India. As per an ET report, Pegatron, Apple¡¯s second-largest contract manufacturer has greenlit an initial investment of whopping $150 million (approximately Rs 1,100 crores) for initiating a manufacturing facility in India.
This was spotted in the company¡¯s filing with the Taiwanese Stock Exchange program. While the amount doesn¡¯t clearly say what it will be used for, it simply states ¡®long term investment.¡¯
The Taiwanese manufacturing giant has registered a subsidiary in Chennai and is currently amidst discussions with state governments of the nation for land allocation. The facility is expected to commence by late 2021 or early 2022.
The project was expected to commence sooner but got pushed further due to the COVID-19 pandemic that has wreaked havoc on the lives of the people around the world. The company said in a statement, ¡°Due to the Covid-19 situation, it has been harder for Pegatron staff to visit India, resulting in delays.¡±
Reuters
This investment comes at a time when Pegatron¡¯s largest facilities in China are facing severe labour-laws violations involving student workers. Pegatron forced student workers to work night shifts and allocated work which had no relation to their academics. This even forced Apple to suspend business with the Taiwanese manufacturing giant till the problem was dealt with.
Pegatron, as a part of the government¡¯s PLI scheme, has to produce handsets worth Rs 4,000 crores in its first year. It isn¡¯t going to be the only Apple maker in India as Foxconn and Wistron are also a part of the aforementioned PLI schemes, committing themselves to $900 million over the next five years.
