Following news of a Foxconn company promising to invest $200 million in Tamil Nadu to establish a new plant, reports now indicate that the agreement will be inked on Monday between the state government and the subsidiary, Foxconn Industrial Internet.
According to Reuters, the Foxconn company would sign a deal for a new plant manufacturing electronic components, citing a senior government source in the know. 6,000 new employment would be created by this plant. The Foxconn business intends to invest $194.45 million in the Kancheepuram district campus.
This plant will be independent from the manufacturer’s Chennai campus, where Apple’s iPhones are assembled. The plant employs approximately 35,000 people, according to the article. Foxconn intends to triple its employees at its Chennai plant by late 2024.
The agency said last week that the Foxconn subsidiary is in talks with Tamil Nadu about the investment and hopes to finish the plant by 2024.
An announcement is reportedly planned for later in the day. Young Liu, Chairman of Foxconn, is set to attend the signing ceremony alongside Chief Minister MK Stalin.
Meanwhile, the business is in negotiations with Gujarat and Karnataka about entering the Indian semiconductor market.
Meanwhile, Foxconn announced its withdrawal from a $19.5 billion semiconductor joint venture with Vedanta, claiming that “the project was not moving fast enough.” Foxconn, on the other hand, stated that it is dedicated to India, but acknowledged that there were difficult gaps that Foxconn and Vedanta were unable to solve, in addition to external difficulties unrelated to the project.