Foxconn Chooses Karnataka To Set Up Its Second-Largest Manufacturing Unit — All You Need To Know

On Friday, 16 August, Karnataka Chief Minister Siddaramaiah assured full support of the government of Karnataka to Foxconn, the Taiwanese electronics giant, as it continues to expand its operations in the state.

During a dinner meeting with Young Liu, CEO and Chairman of Hon Hai Technology Group (Foxconn), and his team, Chief Minister Siddaramaiah emphasised his administration's commitment to facilitating Foxconn's ongoing and future projects.

Foxconn is all set to establish a large-scale manufacturing plant near Doddaballapura. He encouraged the company to explore further investments in Karnataka, particularly in sectors like the semiconductor industry.

"We are committed to working together to enhance and solidify the partnership between Foxconn and Karnataka. This collaboration holds significant promise for mutual growth, and I am honoured to be involved in such a pivotal initiative," Siddaramaiah stated during the meeting. He highlighted Karnataka's established reputation as a leader in the Electronics System Design and Manufacturing (ESDM) sector.

CM Siddaramaiah also pointed out Karnataka's strengths that support competitive electronics manufacturing. This includes efficient logistics, a reliable power supply, a skilled workforce, and a robust vendor ecosystem. These factors, he noted, make Karnataka an ideal environment for the dynamic electronics industry.

In response, Young Liu indicated Foxconn's intention to continue expanding its investments in Karnataka, including exploring new sectors.

"Our investment will not stop here; in the future, we plan to explore other sectors also," he said. Liu also mentioned that the Karnataka unit is on track to become Foxconn's second-largest plant globally, following its facility in China, and is expected to create 40,000 direct jobs, particularly for those with middle-level education.

Foxconn is currently establishing an iPhone assembly plant, referred to as Project Elephant, in Karnataka. The company has acquired 300 acres in the ITIR Industrial Area, spanning Doddaballapura and Devanahalli Taluk in Bengaluru Rural District. The project represents an investment of Rs 22,000 crore and is anticipated to generate employment for over 50,000 people.

The Karnataka government noted that construction for the project is well underway, with the Commerce & Industries (C&I) Department, in collaboration with other relevant agencies, actively working to secure the necessary licences and approvals. Plans for dedicated power and water supplies specific to the project are also being implemented.

In addition to Project Elephant, Foxconn is developing a manufacturing and assembly facility for mechanical components used in electric vehicles, dubbed Project Cheetah. The company has leased private land in the Bengaluru District for this venture.