Heshuo invests USD120 million to establish a second factory in India

Source: CINNO

    According to Reuters, Tamil Nadu in southern India has signed investment agreements worth over $4.39 billion with Apple suppliers, including Tata Electronics and Pegatron, as well as automotive giant Hyundai Motor. Among them, Heshuo is expected to spend $120 million to establish a second factory in the local area.

    The report points out that Apple sees India as the next major driving force for its growth, so Asus hopes to transfer some production from China and establish a second factory in India. In addition, the Indian government also stated during the signing of the agreement that Tata Electronics, a subsidiary of the Indian conglomerate, has committed to investing 120.8 billion rupees (approximately 1.45 billion US dollars) in mobile phone assembly business.

    In addition to Tata Electronics promising to invest in mobile phone assembly business, Tata Power, a subsidiary of the same group, has also stated that the company is discussing plans to invest up to 700 billion rupees (approximately 8.5 billion US dollars) in Tamil Nadu in the coming years, including investments in some existing plans. And such a large-scale investment plan is expected to create thousands of job opportunities in the local area.

    South Korean automaker Hyundai Motor has also pledged to invest 61.8 billion rupees (approximately 730 million US dollars) specifically for the production of electric vehicle (EV) batteries and car manufacturing.

    It is understood that Asus currently mainly produces Apple iPhones at its Indian factory and has not yet ventured into other product lines. However, Asus Chairman Fujiko Hideyoshi previously publicly stated that regarding whether Asus India will step into PC manufacturing, he believes that if there is local demand from customers, our factory also has the capability. Why not?