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Xiaomi Sets up New SMT Plant in India to boost local PCB Assembly

Leading China Based Smartphone Maker Xiaomi recently announced to open three new manufacturing units in India along with the company’s first Surface Mount Technology (SMT) unit in Chennai Tamil Nadu India to boost up their local manufacturing of PCBA (Printed Circuit Board Assemblies) in the country.

As a part of “Make In India” campaign and encourage the local manufacturing Indian government recently imposed 10% tax on import of smartphone key component including Printed Circuit Board Assembly (PCBA). During manufacturing of smartphone cost, the contribution of PCBA was almost 50% of the total cost of a handset.

Manu Kumar Jain Global VP, Managing Director, Xiaomi India

Announcing it during the company’s first “Supplier investment Submit” Xiaomi’s Managing Director of Indian operation Mr. Manu Kumar Jain told reporters “I believe we will continue to play a key role in transforming India into a global manufacturing hub,”These 3 days submit was inaugurated by Ramesh Abhishek, Secretary, DIPP and Deepak Bagla, CEO Invest India and Amitabh Kant, CEO, Niti Aayog at New Delhi, India. Submit was attended by over 50 Smartphone makers around the world. This Supplier Investment Submit will help to understand the India Manufacturing ecosystem to lead to investments in the country

SMT unit will be built with the help of Foxconn, the world’s largest electronics contact manufacture Sriperumbudur, Tamil Nadu India. Xaiomi aiming to double their smart phone production capacity in India and wants to increase the manufacturing capacity of producing 2 smartphones in a second.

“We are staring the Fist Surface Mount technology plan in India” Mr. Manu Kumar Jain, Managing Director, Xiaomi India said to the reporters.

SMT unit will be built with the help of Foxconn, the world’s largest electronics contact manufacture Sriperumbudur, Tamil Nadu India. Xaiomi aiming to double their smart phone production capacity in India and wants to increase the manufacturing capacity of producing 2 smartphones in a second.

The new factory with Foxconn will employ more than 10000 people in Chennai plant in which 95% will female employees said by the company’s officials.

Including 3 new plants in India total 6 plats will be operational to meet the Indian customer requirements. Xiaomi is targeting that each phone sold in India will be the Made In India.

Foxconn also makes phones for OPPO, Gioenee, Apple and its own brand Infocus. The company already providing employment for 7000 peoples in state and will also create 5000 more new employment opportunities till Jan 2018.

To support Indian government dreamed program” Make in India” campaign local Tamil Nadu government also encouraging the industry leaders and announced to provide land subsidy to company so that they can develop a vendor ecosystem, according to industry minister of Tamil Nadu Mr.M C Sampath announced the same to a lot the 49 acres of land

to Foxconn India for boost up production and capacity enhancement of their existing plant. The company also committed to support the government and ensure to generate 30,000 new employment in coming next 3 years.it was said by industry minister to reporters.

Electronics manufacturing Industry, valued at USD 1.75 trillion, is the largest and fastest growing industry sector in the world. At present, the electronic industry in India accounts for a very less share of the global electronic industry contribution it indicates that there is a huge opportunity for growth in the sector. According to expert Reports.

The Total electronics manufacturing in India contribution approximate USD 31 billion in 2015 and it is expected to grow up to USD 104 billion in 2020.

“Domestic production is expected to grow at a CAGR of 27 percent during 2016-2020 to reach USD 104 billion in 2020, as compared to the CAGR of 9.6 percent during 2010-2016,” it said.

In terms of demand of electronic manufacturing global segment, according to report it is expected to grow up to at a CAGR of 41% during FY 2016-2020 touch USD 400 billion by the year 2020.

 

 

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Smtinsight is a leading website covering for surface Mount Technology, PCB assembly, Electronics Manufacturing process from chip to ship.

2 comments

  1. chandra shekhar

    Good

  2. Such a nice article.. thank you sir..

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