The newly established JV will also be applying for the government’s production-linked incentive (PLI) scheme for White Goods
Domestic electronics maker Dixon Technologies has announced it is forming a joint venture with Japan-based Rexxam Co Ltd. The new venture will be involved in the manufacturing of Printed Circuit Boards (PCBs) for Air-Conditioners for the domestic and international market.
The newly established JV will also be applying for the government’s production-linked incentive (PLI) scheme for White Goods.
Post execution of mutually acceptable agreements by the parties, the JV company will be 60 per cent owned by Rexxam and 40 per cent owned by Dixon.
Rexxam Co Ltd is a Japanese Corporation established in 1960. The company deals in the development, design, manufacturing and marketing of – electronic application products, peripheral devices of semiconductor production equipment, automotive components, precision machining products.
Commenting over the development, Dixon Technologies Vice Chairman & Managing Director Atul B Lall said the company shares a long-standing relationship with Rexxam as it was manufacturing AC-PCBs for their Indian partner for more than seven years.
“We are confident that our relationship with Rexxam will further deepen its roots with this strategic partnership. Under this JV, we will not only be serving Indian customers of Rexxam but shall also be serving international clients,” he said.
Dixon is also bullish on exports, with Lall adding,”We highly anticipate that a significant part of revenue under the JV company will come from exports. We are extremely confident that this venture will be well-positioned and shall be a contributor in strengthening India”s electronics manufacturing sector as well as towards the Indian government’s vision of an Atmanirbhar Bharat.”
Earlier in July, Dixon had informed that it has received approval for IT hardware manufacturing under the government’s PLI scheme.