Xiaomi is a Chinese electronics and software company that focuses on smartphones and other smart devices such as fitness bands, TVs, smart bulbs, power banks among many other electronic products.
Recently, the company is putting in efforts to enhance its ‘Make in India’ initiative that it joined almost 5 years ago by partnering with contract manufacturers to produce locally manufactured products. According to a report by First Post, it is mentioned that BYD and DBG are the two contract manufacturers roped in by Xiaomi for locally producing smartphones in India. Another local contract manufacturer is Radiant that is looking after the company’s smart TV production in the country. This partnership with DBG and BYD will reportedly increase the company’s smartphone manufacturing capacity by up to 20% and above.
As reported by FirstPost and according to several other sources, Manu Kumar Jain, Managing Director of Xiaomi India mentioned in a statement that the DBG unit of the company’s contract manufacturer is already active and operational in Haryana and on the other hand, BYD contract manufacturer in Tamil Nadu will be operational in the coming months of 2021.
Xiaomi being a Chinese company has created a major achievement for itself by announcing that as of January 2021, Xiaomi Smart TVs are 100% manufactured in India with absolutely no import from China or any other country. As of January 2021, the company has sold a total of more than 3 million Smart TVs in India.
During the COVID-19 lockdown phase in the country, the company mentioned that they saw an increase in demand for Smart TVs as everyone was homebound and watching entertainment content on TV was the most ideal option.
Managing Director, Jain also mentioned in the statement that Xiaomi is looking forward to increasing its sales of smartphones and Smart TVs that are 100% locally manufactured. These efforts by Xiaomi India are in consensus with the government of India as well. The government is supporting local manufacturing and proposing incentive-based schemes for local manufacturing of components and products. under the government’s PLI scheme, the incentives have been extended from 4% to 6% on incremental sales of goods under target segments that are locally manufactured in India, as reported by First Post.
Not just Xiaomi, iPhone manufacturer Apple Inc. is also looking out for being benefitted under the same schemes and it too has contract manufacturers in the country- Wistron, Pegatron and Foxconn.