Government of India makes it easy for Apple and more to focus on domestic production
According to the information available online, this move will help multiple smartphone companies. Let’s check out the details regarding this new move that will help Apple in focusing on domestic production here.
The government of India has just made a major announcement to boost its Make in India initiative. As part of the announcement, the company is dropping some difficult requirements to kick-off domestic production. This change will ensure that smartphone makers can easily import machines from China and South Korea without additional hoops. Earlier, the government wanted to evaluate the plant and imported machinery. According to the information available online, this move will help multiple smartphone companies. These companies include Apple, Samsung, Oppo, Vivo, and more. Let's check out the details regarding this new move that will help Apple in focusing on domestic production here.
Government of India relaxes rules to help Apple; details
According to the Economic Times, Government has made changes as part of the proposed "Production-Linked Incentive" (PLI) scheme. Beyond the obvious names in the smartphone industry, it also helps other electronics manufacturers including Foxconn and Flextronics. These new changes will allow these companies to expand their existing facilities in India. All these companies will also be able to "make a larger play in local production" with the help of the PLI scheme. As per the report, the "empowered committee of secretaries" conducted a meeting on Friday and announced the new change. Beyond these changes, it also made some other changes to boost the manufacturing shift to India "in a big way".
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It is worth noting that this new move is not really surprising. This is because past reports already indicated such a move. Beyond this, we were also aware of some reservations that Apple raised regarding the rules. The report also noted that the government is also in discussions with Pegatron, the third contract manufacturer fro Apple. The government wants Pegatron to relocate its manufacturing to the Indian market.
The report also noted that it has resolved "the irritants". The government of India wants to use the PLI scheme to attract American investment in the Indian market. It hopes that the scheme should work considering the pressure on US technology companies to move out of China.
Published:Mon, June 01, 2020 1:55pm