The Indian authorities intend to persuade American companies, including Apple and its suppliers Foxconn and Pegatron, and Wistron, to move their production facilities from China to India against the backdrop of escalating trade tensions between the US and China. On Thursday the Agency reports Reuters, citing informed sources.
According to them, the officials in the government of India on August 14 held a meeting during which they identified a list of American companies who may be offered a transition to activities on Indian territory. We are talking about the corporations functioning in nine areas, including electronics, telecommunications and pharmaceuticals.
According to placed at the disposal of the Agency’s document, the government of India in the period from August 26 to September 5, will hold meetings with representatives of companies from the US, which will make a proposal on the promotion of business and creating a better investment zones for their work, reports TASS.
In addition, amid the growing tension in trade relations between Washington and Beijing, which had a negative impact on the global supply chains of cars, Indian officials, reports Reuters with reference to sources in the industry, held this week a series of meetings with representatives of German carmaker Volkswagen, South Korea’s Hyundai Motor and Japanese Honda Motor, which has proposed the transfer of operations from China to India. Official representatives of the automobile companies have not commented on the information received.
June 19, Japanese newspaper Nikkei reported that Apple is considering the option of moving from 15% to 30% of their production capacity from China to other countries due to increasing trade disputes between Washington and Beijing. The company turned to its suppliers with a proposal and asked to estimate the costs of possible transfer of production from China to other countries, in particular Vietnam, India, Indonesia, Malaysia and Mexico, as well as to analyze the prospects of doing business there.
The newspaper also reported that Google this year, translates the production of smartphones Pixel from China to Vietnam.
India is the world’s second largest national market for smartphones with large growth prospects. Foxconn already assembles the Apple smartphones in India. However, China still remained a much more attractive platform due to a more skilled workforce and developed infrastructure.
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