SUMMARY
A delegation of Foxconn, headed by CEO, met Tamil Nadu CM MK Stalin to discuss the possibility of setting up a new facility for manufacturing high-end electronic components
States have rolled out red carpet for the electronics manufacturing giant, including amending laws and fast-tracking land procurement process
Earlier this week, a Foxconn delegation also met Karnataka CM, and explored talks for investing INR 8,800 Cr to set up another manufacturing facility
Taiwanese electronics manufacturing giant Foxconn’s subsidiary Foxconn Industrial Internet (Fii) is reportedly in talks with the Tamil Nadu government to set up a new manufacturing plant in the state.
As per The Economic Times, a delegation of Fii, headed by CEO Brand Cheng, met Tamil Nadu Chief Minister MK Stalin on Wednesday (July 19) to explore the possibility of spurring investments in the state.
The meeting was attended by TN Industries Minister TRB Rajaa, Chief Secretary Shiv Das Meena, and other high-level officials.
During the meeting, Fii is said to have pitched the idea of establishing a new facility for high-end electronic components. The two sides reportedly showed keen interest in exploring a strategic partnership that could create job opportunities for the workforce in the state.
Fii is a major supplier of computer parts to companies like Apple and Lenovo.
The development follows the delegation’s meeting with Karnataka Chief Minister Siddaramaiah and other ministers this week. During the course of the week, the Karnataka government said it was in the final stages of transferring land to Foxconn for its upcoming plant in the Devanahalli Information Technology Investment Region (ITIR) region.
Notably, Foxconn already has a major foothold in Tamil Nadu. It has a plant in Sriperumbudur, near Chennai, where it manufactures iPhones for Apple.
States Roll Out Red Carpet For Foxconn
Foxconn appears to be scouting prospects for setting up another manufacturing facility in southern India. The governments of Karnataka, Tamil Nadu, and Telangana have been pitching to electronics manufacturing companies like Foxconn to invest in their respective states.
Earlier this week, Foxconn also held talks with the Karnataka government to explore the possibility of establishing a supplementary plant in the state with a proposed investment of around INR 8,800 Cr.
In February this year, the Karnataka government also amended labour laws, introducing 12 hour work shifts and night-time work for women. In a similar vein, Tamil Nadu also proposed a similar law but had to shelve the amendments after opposition from trade unions.
Earlier this year, Foxconn was also said to be investing $500 Mn in Telangana to set up a manufacturing facility in the state.
The move to India has largely been attributed to the Centre’s production linked incentive (PLI) schemes and the geopolitical tensions between Beijing and Washington.
While Apple and Xiaomi have ramped up the production of various products in India, companies like Google are mulling similar plans. With Fii’s keen interest in both Karnataka and Tamil Nadu, the competition to secure investment from the contract manufacturer is heating up, and the states are leaving no stone unturned to woo the Taiwanese company.
