This move will promote India's Prime Minister Narendra Modi's flagship 'Made in India' initiative. He hopes to turn India into a global manufacturing hub to promote employment growth in Asia's third-largest economy.
New Delhi announced last week the development of a road map to increase the assembly of local smartphones. As part of this plan, India will impose a 10% tariff on imports of key smartphone components, including densely populated printed circuit boards (PCBs).
Xiaomi took the place of Samsung Electronics in the smart phone market in India. At Monday’s investment summit, Xiaomi received 50 global suppliers in New Delhi. Major Indian officials also attended the summit.
Xiaomi said that if these 50 suppliers all open stores in India, they will bring about 2.5 billion U.S. dollars in investment and create up to 50,000 jobs.
Xiaomi currently owns six smart phone manufacturing plants in India, which is its largest market except China.