Foxconn Will Build 12 Factories in India, Create Over 1 Million Jobs
As labor costs in China increase, big companies like Foxconn have found India as the ideal place to expand to. It appears that by 2020, Foxconn is going to build in India 10 to 12 factories, putting to work around 1 million people.
Foxconn wants to move low end manufacturing to this country and also it will make local brand models there, in order to avoid import taxes that would have dug into their profits. The Chinese smartphone market is slowing down, so moving into the Indian one makes sense. This model was already done by Xiaomi and seeing how India’s population is progressing faster than China’s, the market there is ripe for the taking.
Foxconn is already China’s largest private employer, with over 10 factories employing around 1.1 million people. As the OEM business is transferred to India, we hope the firm has gotten rid of its older policies, with too long work hours, too little pay and too much stress. Such conditions pushed workers to suicide and suicide nets were mounted at some point.
via Financial Times