Samsung to invest heavily in India shifting from China!
Galatta | Dec 12, 2020, 08:40 pm
There has been a huge surge in anti-China sentiments across the world, ever since the outbreak of the COVID-19 Novel Corona Virus Pandemic. A number of leading companies in the world which had various business links in China, have been moving out of the country and trying to identify alternate locations for their businesses! One of the biggest beneficiaries of this has been India, which for long has been projecting itself as a very viable and better business hub than its Asian neighbour! The Indian government had also recently announced a slew of incentives (Production Linked Incentives) for multi-national companies, expanding their presence and investing in India. Now, reports state that the global electronics and smartphone major Samsung, is all set to relocate from China to India!
An announcement by the Uttar Pradesh government states that Samsung has planned to invest Rs. 4825 Crores to relocate its mobile & IT display manufacturing plant from China to the NCR region. The UP Cabinet, headed by Chief Minister Yogi Adityanath has reportedly approved special incentives for the South Korean company Samsung, to set up its display manufacturing unit in the NCR region. As of now, Samsung which produces over 70% of all the display products used in TVs, mobiles, tablets, watches and other units. The production of these displays is currently happening in South Korea, China and Vietnam. Earlier in 2018, Prime Minister Narendra Modi inaugurated a huge mobile manufacturing facility in Noida and Samsung had committed Rs. 4915 Crores as investment for this factory.
Reports state that the upcoming display manufacturing unit would generate a number of direct and indirect jobs for Indians. Recently, Samsung had also announced that it plans to begin manufacturing its TV units in Chennai, before the end of 2020! As per the UP government's incentive scheme, Samsung would be getting exemption of stamp duty in the transfer of land and the state government will be making a financial provision of Rs. 250 Crores for this project, over the next 5 years. Also, Samsung and Apple partners Wistron, Foxconn and Pegaron, received approval from the Indian government under the Production Linked Incentives (PLI) scheme, to avail incentives for producing mobile phones at an invoice value of Rs. 15,000! Samsung had also recently announced that it has plans for new manufacturing initiatives in India, to make it an electronics manufacturing and exports hub!