Samsung Doubling Smartphone Production in India
Samsung’s expansion to new regions has largely been fueled by affordable devices in emerging markets like India, where the company focuses much of its mid-range and low-range portfolio. Now we learn that Samsung is planning a large investment in India, hoping to raise production to keep up with demand and retain its momentum.
According to a report from Business Korea, Samsung Electronics is planning to make a 40 billion rupee investment (about $620 million US dollars) in India in order to double smartphone production. Governmental and industry sources revealed that the Indian division of Samsung Electronics is planning on expanding its 120,000 square-meter production line in the northern part of the country to 240,00 square-meters, with a ground-breaking ceremony on the 7th. The company has reportedly purchased the land next to its existing plant, and once the expansion is completed, Samsung would be able to produce 10 million handsets every month, double the current production rate.
Samsung has already signed a memorandum of understanding for the Noida plant expansion with the state government last year, and at the time the company announced it planned to invest 18.7 billion, though said figure has doubled since.
Source: Business Korea