Last year, Samsung announced that it will start manufacturing smartphone display panels in India. In fact, the chaebol was planning to set up a $500 million manufacturing plant located in India. The manufacturing was set to kickstart from April 2020 but then a pandemic happened. The entire country went on a lockdown to fight back the COVID-19 outbreak. Along with that, the company’s plan for manufacturing panels got delayed as well.
At the end of the year 2020, Samsung even decided to bring an additional workforce from South Korea to speed things up a bit. Well, the chaebol has now started manufacturing the display panels in the country.
Samsung starts manufacturing display panels in India!
According to a new report by ET Telecom, Samsung has now kickstarted the manufacturing of smartphone display panels at the Noida plant. At the moment, the company is only focussing on display panels for smartphones. It looks like Samsung is eager to ramp up the production and start focussing on display panels for monitors and other IT products as well.
The report further adds that the new manufacturing plant will provide 500 direct job opportunities and around 1,300 jobs indirectly. According to the latest stats, the company has invested around INR 4,825 crores (i.e. $653 million). With this new development, Samsung has now shifted its display panel manufacturing from China to India.
At the time of writing this, Samsung manufactures around 70% of its display needs from its homeland i.e. China. Soon, these figures will change thanks to the Indian manufacturing plant.
Samsung to receive incentives from the government as well
For those who’re unaware, the Indian government is working on making the country the next big electronics manufacturing hub after China. In order to achieve that status, the government is offering various incentives that, of course, depend on various factors. Since Samsung’s new push would boost India’s plans, the government is offering around $61 million as financial incentives to the company.
It is also worth noting that Samsung is the only company that has managed to meet the government’s PLI scheme requirements. Various other smartphone makers such as Apple, Foxconn, and Wistron have struggled to meet the demands. With that said, Samsung’s new decision to bring manufacturing to India could also force competitors to do the same.