Xiaomi eyes expansion in Indian market, announces three plants

Xiaomi announces local manufacturing of Printed Circuit Board Assembly (PCBA) in India, along with three new smartphone plants

And, during this Supplier Investment Summit, Xiaomi has announced the local manufacturing of PCBA in India along with three new smartphone plants in the country. All the assembly work is also done by women. "By Q3, all Xiaomi phones made in India will have PCBs that are locally assembled", he said. "Today we are deepening this commitment", Xiaomi's India head Manu Jain said in a statement onMonday. There is also a new campus in Sriperumbudur where Xiaomi will build the factory.

In order to accomplish these targets, Xiaomi said at the Supplier Investment Summit, now underway in India, that global smartphone component suppliers will be "educated" about the Indian manufacturing ecosystem in order to help them become established in the country.

In its first phase, the government had targeted production of various components for three years-mechanics, die-cut parts, microphones and receivers, keypads and USB cables in 2017-18; printed circuit boards, camera modules and connectors in 2018-19; and display assemblies, touch panels, vibrator motors and ringers in 2019-20. These new factories will increase the production capacity of smartphones to two smartphones per second during the working hours.

Xiaomi is gearing up to establish new manufacturing units in Tamil Nadu and Andhra Pradesh. According to Tarun Pathak, Tarun Pathak, Associate Director at Counterpoint, Xiaomi's PCBA announcement should make it the second largest brand in terms of value addition in India after Samsung.

HiPad is one more such partner for Xiaomi with whom the smartphone maker is making smartphones as well as batteries in its Noida plant.

"If all the suppliers set base in India, this would lead to one of the biggest ever single investment in the electronic manufacturing industry, creating a big pool of jobs". Well, that summit has kicked-off today in India and continues till April 11, 2018.

Commenting on the development, Manu Kumar Jain disclosed that the company already had two manufacturing plants for the manufacture of smartphones in India.

Xiaomi will also become the first smartphone company in India to start local assembly of printed circuit board assembly (PCBA) units. Xiaomi India is hosting 50-odd suppliers for a three-day tour of Uttar Pradesh and Andhra Pradesh to explore investment opportunities.

The aim of the program is to improve the country's economy by providing job opportunities in areas including aviation, IT, pharmaceuticals, construction, and electronics by streamlining the laws and bureaucracy surrounding businesses in India.

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