As we all know, millet surpassed Samsung Electronics in the fourth quarter of last year and became the No. 1 smartphone market in India. Almost all of Xiaomi's handsets for the Indian market have been localized in India.
Millet mobile phone foundry business, Foxconn Group's Tomonobu company.
According to a recent report by the Economic Times website, Foxconn has 15 million smartphones in India each year. The major OEM customers are the InFocus brand of millet, Jinli, Nokia and Foxconn (Nokia phones are from Foxconn and Finland HMD company co-operation).
According to reports, Foxconn handsets in India this fiscal year production scale will increase to 30 million, Foxconn is currently looking for suitable land in India, the new mobile phone production line.
It is reported that Foxconn in India to consider the construction of mobile phone factories in the site, including the Sriperumbudur Nokia Development Zone, as well as Maharashtra, Delhi National Capital Development Zone and other locations.
Recently, according to several Indian media reports, Foxconn Group once promised in 2015 that it will invest 5 billion U.S. dollars in building electronic products manufacturing base in Maharashtra, but Foxconn Group's investment commitment has not been fulfilled, which triggered the Indian discontent: Indian officials said it is no longer important for Maharashtra to receive half of foreign direct investment in India and whether Foxconn is honoring its investment promise.
The above-mentioned Phuoc company for the Chinese handset brand mobile phone business, and parent company Foxconn Group's investment plan in Maharashtra, there is no direct relationship.
Xiaomi has made rapid progress in making mobile phones in India, and Tomicon currently has two factories in the state of Andhra Pradesh that specialize in handsets for Xiaomi, which has also said it will add a third factory to produce handsets .
It is not yet clear when the third cellphone factory in India will be completed and put into operation.
At the end of last year, Xiaomi and a Indian company partnered to set up a factory in Uttar Pradesh, India, to produce mobile power for the Indian market.
At the end of last year, OPPO, one of China's four major mobile phone brands, also obtained permission to set up a mobile phone factory in India. By now, all four mobile phone brands in China have already achieved home-made in India.
According to a recent report released by US market research firm IDC, the Indian smartphone market grew by 14% last year, accounting for almost the world's highest growth market with Chinese companies gaining a 53% share, much higher than that of 2016 %.
The most important reason why Chinese mobile phone brands can be invincible in India is that the products are cost-effective. Chinese companies mainly sell low-priced handsets priced at around $ 150, which are cheaper and more practical. They are welcomed by Indian consumers.
In contrast, although Apple executives repeatedly said they want to open up the Indian market, Apple's share in India is only a meager 2.5% today, less than the fraction of a Chinese brand.
However, the Indian government's move to continuously raise the import tariffs on mobile phones is affecting the competitiveness of China's mobile phones.It is reported that the move by the Indian government has sparked opposition from the WTO member countries internationally, believing that India violated the trade agreement on information products However, the WTO dispute settlement related to trade disputes take a long time, in the short term, Chinese manufacturers still face 20% of the high tariffs.
Obviously, if we continue to increase the scale of production in India, will help Chinese mobile phone brands get rid of the impact of import duties.
It should be pointed out that South Korea's Samsung Electronics, which is evenly matched with Xiaomi, also announced a multi-billion dollar investment plan last year that will increase the production capacity of smartphones and other home appliances in India. Samsung Electronics has a long-standing, mature Sales and after-sales support network, Samsung will remain the strongest opponent for handset makers in India for a long time to come.