Xiaomi India planning more plants, adding to capacity; Manu Jain says firm has invested Rs 3000 cr since 2014

Published On: 05, Dec 2017 | Source: financialexpress.com

Chinese handsetmaker Xiaomi is planning to set up more manufacturing plants and add capacity at the existing ones for smart phones and other products across various categories.
Currently, it has three manufacturing plants – two in Sri City, Andhra Pradesh, for phones and one for power banks in Noida.

Manu Jain, vice-president, Xiaomi India, said, “We are definitely exploring. We want to add more capacity. We want to set up more plants, not just for phones, even for other categories such as Mi-band. There are many other categories based on internet of things platform.”

From July 2014 to the beginning of this year, the company has invested more than Rs 3,000 crore in the country, Jain said. Its first manufacturing facility for smart phones was launched in August 2015 and the second plant was inaugurated during this year.

It has partnered with Foxconn at Sri City in Andhra Pradesh, reaffirming its commitment to Make in India. The first plant went live in August 2015 and by March 2016, over 75% of its phones were being manufactured in India. With the manufacturing plants, more than 95% of Xiaomi’s smartphones sold in India are manufactured in the country. Xiaomi has combined production capacity of one phone per second during operational hours.

“The company is making fresh investments even as more factories, service centres, R&D centre are being set up,” Jain said. The investment figures would be known by the end of the year.

Xiaomi claimed it is the number one smartphone vendor in India, as per IDC’s latest Quarterly Smartphone Tracker, Q3 2017. With a market share of 23.5% and having shipped 9.2 million smartphones in the quarter, it has become the fastest-growing smartphone brand in India, the company said.