Taiwanese electronics contract manufacturer Foxconn has signed a Letter of Intent (LOI) with the government of Karnataka for two projects with an estimated investment outlay of ₹5,000 crore, expected to generate 13,000 jobs.
These projects are in addition to the iPhone end assembly plant, which the company has planned to set up at Devanahalli with an investment of about ₹14,000 crore. The state government ministers and officials met with Foxconn chairman Young Liu in Chennai on August 2, said the state government.
Large and Medium Industries Minister of Karnataka, MB Patil, has noted that the intended projects include a phone enclosure project for which Foxconn Industrialist Internet(FII), a Foxconn subsidiary will invest ₹3,000 crore and is estimated to create 12,000 jobs.
The phone enclosure unit will manufacture subassembly components for smartphones, specifically mechanical enclosures of iPhones. FII is currently evaluating suitable land parcels in and around Bengaluru. The government said that following prior discussions, the company had examined a 100-acre land parcel at Japan Industrial Township in Tumakuru.
Additionally, Foxconn will invest ₹2,000 crore for a semiconductor equipment manufacturing project. The project will be taken up in collaboration with Applied Materials and is expected to generate 1,000 jobs. The location for this project is likely to be finalised at the Haraluru Muddenahalli – Hi-Tech Aerospace and Defence Park-Phase II in Bengaluru Rural district, where Foxconn has sought a 35-acre plot.
The state government is actively engaging to bring in investments to the state. Recently, Karnataka Chief Minister Siddaramaiah said the state will have a New Industrial Policy. He noted that the government prioritises the promotion of industries and that employment generation is highly possible through industrialisation.
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Published on August 2, 2023
