Foxconn’s Bharat FIH To Make More Than Just Phones

- Advertisement -
  • Bharat FIH’s  Xiaomi orders went down by 70% from 2021 to 2023. 
  • The company now plans to expand into new sectors.
  • The plant has an exceptional capability to expand as and when required.

Foxconn’s subsidiary Bharat FIH is diversifying its manufacturing operations from android phones. The company is expanding into new sectors including telecom equipment, electric vehicles, televisions, and displays.

The company is exploring opportunities in various segments, including those supported by the Production Linked Incentive (PLI) scheme. This would align with the Indian government’s vision of making India self-reliant in electronics manufacturing.

Key reason for this diversification is to counteract a decrease in orders from Xiaomi, its main client. Bharat FIH’s heavy reliance on Xiaomi has impacted its scale, its Xiaomi orders went down by 70% from 2021 to 2023. 

- Advertisement -

Xiaomi’s handset production in India has declined as its sales came down by 38% in two years from 2021. This is due to a government crackdown on Chinese businesses in India. The company has also started diversifying its Electronics Manufacturing Services (EMS) partners, further affecting Bharat FIH’s business.

Workers at Bharat FIH
Plant Image from Bharat FIH website

The company, without disclosing its operating capacity, claims to have an exceptional capability to expand as and when required. Bharat FIH’s facility in Sriperumbudur is currently focusing on surface-mount technology (SMT) operations and some assembly, testing, marking, and packaging (ATMP) operations for specific segments.

Bharat FIH, located near Chennai,  is currently fourth in India’s mobile phone contract manufacturing market, dominated by Dixon, Foxconn, and DBG Group. The company’s diversification efforts are expected to take time to yield results, as established local players are already making significant strides in the new segments Bharat FIH is targeting.

Bharat FIH was among the global firms chosen to avail benefits under the PLI scheme for smartphones in 2021, but it has failed to meet its production targets, resulting in the loss of potential incentives. Although the company manufactures for Nokia too, but mostly phones that cost less than ₹15,000. The PlI incentives are valid for the phones above ₹15,000. The stagnant smartphone market in India and competition from established players pose challenges for Bharat FIH’s growth in the smartphone segment.

- Advertisement -

Most Popular Articles

LEAVE A REPLY

Please enter your comment!
Please enter your name here
Captcha verification failed!
CAPTCHA user score failed. Please contact us!

Exclusive

Report Suggests India’s EV Sales Will Surge, Rising 66% In 2024

0
In 2023, sales of electric vehicles (EVs) in India almost doubled due to increased consumer interest, government actions, better infrastructure, and climate change worries....

Ascend Performance Materials: Pioneering Innovation in the Electronics Sector

0
Bridging material advancements in plastics and technological progress, Ascend leads with customised solutions for a safer, reliable and greener tomorrow. Q. How would you explain...

DigiKey Expands Portfolio With 3PEAK

0
This collaboration adds amplifiers, interface components, data converters, and more, catering to industries such as communication, industrial, medical, and automotive.  In a strategic move aimed...

Buzz

CleanMax Alliance With Apple To Boost Renewable Energy In India

0
These installations are anticipated to reduce approximately 207,000 tons of CO2 emissions over their operational lifespan. CleanMax announced a significant joint venture with technology giant...

Ramkrishna Forgings To Supply Powertrain Parts To Top US Electric Carmaker

0
Indian producer of rolled, forged, and machined products enter the US electric vehicle market for the first time. Ramkrishna Forgings, an Indian supplier of rolled,...

Microsoft’s $1.5B AI Venture In UAE Stirs Global Interest

0
New partnership with G42 promises transformative AI advancements in emerging markets, impacting tech and geopolitics. Microsoft has announced a strategic $1.5 billion investment in UAE-based...

Important Sectors

CleanMax Alliance With Apple To Boost Renewable Energy In India

0
These installations are anticipated to reduce approximately 207,000 tons of CO2 emissions over their operational lifespan. CleanMax announced a significant joint venture with technology giant...

Ramkrishna Forgings To Supply Powertrain Parts To Top US Electric Carmaker

0
Indian producer of rolled, forged, and machined products enter the US electric vehicle market for the first time. Ramkrishna Forgings, an Indian supplier of rolled,...

Tesla Power, E-Ashwa To Introduce India’s First EV With Fire Safety Tech

0
The partnership also expands to include the provision of after-sales support for electric vehicle customers by establishing a comprehensive network of sales and service...

Elektrobit Introduces EB zoneo GatewayCore Featuring Infineon’s AURIX TC4x

0
The EB zoneo GatewayCore is designed to connect hardware-dependent accelerators with the Classic AUTOSAR framework, providing adaptable support for intricate routing scenarios. Elektrobit, a premier...

Raptee’s Cell Chemistry Extends Battery Life, Says Dinesh Arjun

0
The Co-founder and CEO of Raptee disclosed that the company is currently sourcing its cells from a variety of countries. Dinesh Arjun, the Co-founder and...

Manufacturing

Ramkrishna Forgings To Supply Powertrain Parts To Top US Electric Carmaker

0
Indian producer of rolled, forged, and machined products enter the US electric vehicle market for the first time. Ramkrishna Forgings, an Indian supplier of rolled,...

AVL And Red Bull To Create High-Density Fuel Cell Technology

0
The advanced technology, featuring ultra-high power density and a lightweight design, is said to be two-thirds lighter than traditional fuel cell systems. This partnership...

JJG Aero Secures $12 Million Investment From CX Partners

0
The Bengaluru-based aerospace components manufacturer intends to use the funds primarily to enhance vertical integration, increase production capacity at the new site, and support...

Tata Electronics Finalizes Semiconductor Agreement With Tesla

0
Ashok Chandak, the head of the India Electronics and Semiconductor Association (IESA), highlighted that Tesla’s initiative to establish a network of domestic suppliers for...

Sterling Tools Targets 40% of Sales from EV Business by FY25

0
This increase is anticipated to come from the EV business segment, which is integral to the company's strategy to diversify its operations. With a certain...