Samsung’s plan to build a smartphone display manufacturing plant in Uttar Pradesh, northern India, is at an advanced stage, according to invest India, an Indian investment promotion agency. The facility will be fully operational in 2021, and Samsung hopes to create 1300 jobs through new initiatives.
As early as 2019, the government signed a Mou on the facility, and Samsung Electronics plans to invest 53.67 billion rupees (about 5.02 billion yuan) in the project. Despite the plan, Uttar Pradesh Industrial Development Minister Satish Mahana said incentives were under consideration and no decision had yet been made.
A number of sources also confirmed that the project is one of the relocation plans of Samsung’s display manufacturing business in China. Since last year, Samsung has been slowly reducing its display manufacturing business in China. Interestingly, Samsung is one of the main participants in investing in “made in India”.
Samsung has one of the world’s largest mobile phone manufacturers in Uttar Pradesh, India. However, this will be the first time Samsung has made displays in India, which is expected to make India the only global manufacturing center in China.
In return, Samsung will receive tax and other benefits from the Indian government. This could further drive Samsung smartphones cheaper in India, where Samsung is the leading manufacturer of OLED displays. Samsung is also a major supplier of displays. If the factory is approved, Samsung may further expand these businesses and even produce high-end curved surface OLED displays in India.
Since the outbreak of the epidemic, major enterprises have been rethinking their strategy of putting all eggs in one basket, that is, setting up the supply chain in China. Samsung also sees Vietnam as another potential manufacturing destination. At present, Samsung has three OLED factories in China, nine in South Korea and one in Vietnam.
Editor in charge: GT