Apple supplier Foxconn will invest $500 million in Telangana and as many as 25,000 jobs will be created in the first phase of the project, Telangana minister KT Rama Rao announced today.
The Foxconn plant will come up near Hyderabad, at Kongar Kalaan in Ranga Reddy district.
"Demonstrating the 'Telangana Speed', I am happy to announce the groundbreaking of first of Foxconn's plants in Telangana at Kongar Kalaan today. With an investment of over $500M it shall create 25,000 direct jobs in first Phase," the minister, who is also the son of Telangana Chief Minister K Chandrashekar Rao, said in a tweet.
Demonstrating the “Telangana Speed”, I am happy to announce the groundbreaking of first of Foxconn's plants in Telangana at Kongar Kalaan today
With an investment of over $500M it shall create 25,000 direct jobs in first Phase #Telangana#Foxconnpic.twitter.com/PHThJWxsfT
— KTR (@KTRBRS) May 15, 2023Mr Rama Rao, also known as KTR, is Telangana's minister for information technology, electronics and communications. He also handles the portfolios of municipal administration and urban development and industries and commerce.
A joint statement between Telangana government and Foxconn said the new facility "is a promise to continue delivering world-class products to the markets, and a milestone for Foxconn Interconnect Technology's global expansion strategy".
The statement thanked the state government for its "unwavering commitment to fostering a favorable business environment".
Headquartered in Taiwan's New Taipei City, Foxconn is the world's biggest manufacturer of iPhones, with a majority of its plants located in mainland China.
The Covid pandemic and Beijing's harsh lockdown had crippled production in Foxconn's China facilities. This, along with violent protests over pay and work conditions at iPhone's largest plant, led to a supply chain crisis that forced a rethink in Apple and Foxconn on the overdependence on China.
AdvertisementThe choice of India as an investment destination must also be seen against the backdrop of a geopolitical trend of companies looking beyond China as tensions rise between Washington and Beijing.
Apple's India push was reflected in its opening of two stores in Delhi and Mumbai last month. The grand event saw CEO Tim Cook fly down. During his trip, Mr Cook met Prime Minister Narendra Modi and several prominent personalities from different fields.
AdvertisementFoxconn has also bought a huge plot on the outskirts of Bengaluru, according to a statement to London Stock Exchange earlier this month. Earlier, in March, Karnataka Chief Minister Basavaraj S Bommai had said Apple products would soon be manufactured in the state and about a lakh jobs would be created.
AdvertisementAdvertisement
