Chinese electronics behemoth, Lenovo is planning to open a new manufacturing plant in the country. According to Times of India, the world’s largest presonal computer maker is in talks with many state governments to identify the best location where they can start manufacturing.
Lenovo has said that their existing plant in Puduchery has lost the fiscal incentives which it used to get and this has led them to take the decision of opening a new plant. The present plant at Puduchery has the capacity of manufacturing 1.5 million units of PCs every year but since the tax incentives has now gone, Lenovo will eventually close this plant once their scouting for the new manufacturing plant is done.
Five states which are on the radar of the company are Telangana, Andhra Pradesh, Gujarat, Chhattisgarh and Uttar Pradesh. For Lenovo, India is one of the biggest market and it wants to make India its export hub and will also soon start manufacturing smartphones and tablets on their own in the country. Presently, lenovo phones are being made by Flextronics.
Lenovo’s revenue last year is estimated to be around $2 billion in India, with PC and mobile handset business contributing roughly 45% each. The rest came from the tablet/server business.
By Atanu Kumar Das