Foxconn's Strategic Expansion into North India

Taiwanese electronics giant Foxconn, renowned as Apple's largest supplier, is reportedly eyeing a significant expansion in India. The company is considering the acquisition of 300 acres of land along the Yamuna Expressway in Greater Noida, Uttar Pradesh, for a new manufacturing facility. This move marks Foxconn's first venture into North India, signaling a strategic shift in its global supply chain strategy.

Potential and Scale of the New Facility

According to sources, the proposed facility could surpass the size of Foxconn's upcoming plant in Bengaluru, positioning it as the company's second-largest globally. While the specifics of the products to be manufactured remain under wraps, discussions with the Indian government are underway. This development is part of Foxconn and Apple's broader strategy to diversify their supply chains away from China, amidst escalating tariffs on Chinese imports.

Strategic Location and Government Collaboration

The land in question falls under the jurisdiction of the Yamuna Expressway Industrial Development Authority (YEIDA), an area already familiar to Foxconn through a joint semiconductor project with HCL. Although this earlier project awaits government approval, the new proposal underscores Foxconn's commitment to expanding its manufacturing footprint across India, with existing operations in Tamil Nadu, Karnataka, and Telangana.

Global Supply Chain Shifts

This expansion comes at a critical juncture, as global supply chains undergo significant realignment due to trade tariffs. With the United States imposing tariffs ranging from 10 to 50 percent, and China facing a hefty 145 percent tariff, Foxconn's move to bolster its presence in India is a strategic response to these challenges. India, facing a 26 percent tariff on its exports, emerges as a key player in this reshaped manufacturing landscape.