Jaromir Miko The trade war between US President Donald Trump and China was the reason why many companies started looking for alternative solutions to keep the production of their products as cheap as possible. Among them we could also find Apple, which also started to produce part of the iPhones in India because of this. Foxconn, the largest electronics manufacturer in the world and also the producer of the vast majority of devices for Apple, noticed the potential of this country.
The company already signed a memorandum here in 2015 to open a new factory specifically designed for the mass production of iPhones for Apple. For the factory, Foxconn had a plot of land with an area of almost 18 hectares in the industrial area of Mumbai. However, nothing will come of the $5 billion investment. According to the Minister of Economy of the Indian state of Maharashtra, Subhash Desai, Foxconn abandoned the plans.
It could be interest you
Amaya Toman The main reason for the server, The Hindu said, was that the Chinese company was unable to find common ground with Apple regarding the factory. Other reasons include the current international economic situation and the fact that competing manufacturers here perform better than Foxconn. Foxconn's decision does not directly affect customers, but it could affect the workforce at other smartphone makers in the country, such as Samsung. In addition, the premises that Foxconn wanted to use for the future factory were taken over by the logistics giant DP World.
The minister believes that Foxconn's decision is final and means the end of the plans in their current form, which the company committed to five years ago. However, Foxconn told the Focus Taiwan server that it has not completely abandoned the investment and may continue to develop its chain in India in the future. He confirmed, however, that he has disagreements with business partners, whom he did not name, regarding the current plans. Further developments between Foxconn and Apple will thus affect how the situation in India develops.
