Foxconn In Talks With TN To Expand Its Battery Manufacturing Biz In India

Taiwanese electronics manufacturer Foxconn is reportedly in discussions with the Tamil Nadu government to expand its battery manufacturing business in India.

According to ET, citing people close to the development, the TN government has approached Foxconn, the biggest contract manufacturer operating in the country, with about 200 acres of land for the company’s proposed battery energy storage system (BESS) unit.

A battery energy storage system usually locks the energy from renewable and non renewable sources and stores it in batteries.

“Foxconn is yet to finalise but the talks are in the final stages and the company is likely to go ahead with the project at the identified land in Tamil Nadu, in line with what was mentioned by chairman Young Liu during his India visit,” the report said.

In August, Liu, on his visit to India, reportedly revealed the Taiwanese electronics manufacturer’s plans to set up a BESS unit in India.

The company is looking to expand towards the market share gaining electric vehicle industry, with the first plant already set up in Taiwan.

It is pertinent to note that following the discussions and the state government’s approval, the unit in TN would be its second BESS unit in the world.

“The Tamil Nadu government has also given Foxconn an incentive package,” the report quoted a source as saying.

It added that the state offered Foxconn land near Manalur in Tiruvallur district.

This development comes weeks after the union government was planning to float tenders for setting up 10 gigawatts (GWs) of battery energy storage projects, to strengthen India’s position in the energy storage segment, as per reports.

Meanwhile, Foxconn was also considering an investment of around $1 Bn (INR 8,354 Cr) to set up a smartphone display module assembly plant in TN, which would be another first such facility by the company in India.