Samsung Electronics to Invest 40 Billion Rupee in India to Double Local Production

From : BusinessKorea

Samsung Electronics Co. is planning to make 40 billion rupee (US$620.84 million) worth of investment in India to double the production of smartphones in the South Asian country.

According to governmental and industry sources in India on June 4, the Indian division of Samsung Electronics will expand its existing 120,000-square-meter production line in Noida, Uttar Pradesh, in the northern part of the country, to 240,000 square meters and have its groundbreaking ceremony on the 7th.

Samsung Electronics made the purchase of the land next to the Noida plant. If the expansion is completed, the factory will be capable of producing 10 million units of handsets every month, marking a sharp rise from the current capability of 5 million units. Its monthly production of refrigerator is also set to grow twofold from 100,000 units to 200,000 units.

Samsung Electronics India signed a memorandum of understanding (MOU) for the Noida plant expansion with the Uttar Pradesh state government in October last year. The company announced to invest 19.7 billion rupee (US$305.76 million or 343.37 billion won) at that time but decided to double the investment in the process of the planning.