This mobile company has already partnered with Dixon Technologies and Zet Town India to expand production in India.
Following a major move by American mobile giant Apple, the Finland-based company behind Nokia phones – HMD Global – has decided to shift a major portion of its manufacturing operations from China to India. The company aims to establish India as its global manufacturing hub. Additionally, HMD has encouraged its global suppliers to set up factories in India. This development is likely to fume China.
HMD’s Strategy for Expansion in India
HMD India’s and Asia-Pacific CEO Ravi Kunwar stated that the company has taken the decision to relocate its supply chain to India in order to support its robust export strategy.
“The exports from China have been declining rapidly, while exports from India are increasing. We have begun relocating our supply chain, sourcing, and logistics hub from China to India to support our robust export strategy,” Moneycontrol quoted Kunwar as saying.
Phones Already Being Manufactured in INDIA
HMD has already partnered with Dixon Technologies and Zet Town India to expand production in India.
Many of HMD’s smartphones are already being manufactured in India and exported to regions like the Middle East and Africa. However, the company highlighted the need to enhance aspects like cost, quality, and timely delivery to make India a competitive and reliable manufacturing hub. HMD highlighted that the complete transition from China will take time.
Need for Clear Government Policies
HMD has called for clear policies in order to boost local component manufacturing in India. Notably, the Ministry of Electronics and IT is reportedly working on a Rs 40,000 crore scheme to promote electronic component production.
Focus on Global Exports and New Launches
HMD recently introduced the Fusion smartphone in the market. The phone features attachable accessories for gaming and photography, targeting the Rs 10,000 to Rs 15,000 smartphone segment.
The company also plans to increase exports to United States and Europe, focusing on geopolitical changes and supply chain security.