Xiaomi is aiming to influence its global smartphone component makers to set up production units in India. In what could be a massive boost to Indian Prime Minister Narendra Modi’s ‘Make in India’ initiative that is aiming to inject millions of new jobs, the Chinese smartphone maker wants to invest as much as $2.5 billion (INR 15 crore) and create nearly 50,000 new job opportunities in the world's second biggest smartphone market.
Speaking at the company’s first ever Supplier Investment Summit in the South Asian nation, Manu Jain, Xiaomi Global VP and managing director of Xiaomi India, said the scheme will help their “suppliers effectively assess and expand their manufacturing capabilities in the country; contribute towards meaningful investment and job growth; and help boost the overall economy," and turn China’s neighbour into a global manufacturing hub.
The Chinese smartphone maker also announced the launch of three new smartphone factories in India, alongside a Surface Mount Technology (SMT) plant dedicated to the creation of Printed Circuit Board Assembly (PCBA) boards. “Today we are deepening this commitment with three more smartphone factories and our first surface-mount technology (SMT) plant dedicated towards local manufacturing,” Jain said in a statement.
The supplier summit currently underway in India since Monday will run until Wednesday 11 April. The component suppliers will be visiting the northern Indian state of Uttar Pradesh and south eastern state of Andhra Pradesh to explore and learn about investment opportunities in India, incentives offered by the central and state governments, FDI policy, industrial policy and various state sector specific policies, Xiaomi said in its blog.
The world's fifth largest smartphone manufacturer joined the "Make In India" program in 2015. The scheme, launched in 2014, is overseen by the Department of Industrial Policy and Promotion (DIPP) and Indian Ministry of Commerce and Industry.