World's Largest Mobile Phone Factory Set to Open in India

World's Largest Mobile Phone Factory Set to Open in India

Samsung Electronics, the South Korean maker of Galaxy smartphones, said it is opening the world's largest mobile phone manufacturing facility on the outskirts of the Indian capital, as smartphone demand in the country surges.

Samsung now manufactures over 60 million smartphones annually in India and with the new plant, it is expected to manufacture almost 120 million mobile phones. The country's Prime Minister Narendra Modi and South Korean President Moon Jae-in will visit the site later today to officially inaugurate Samsung's biggest mobile factory. Before the launch of the Noida plant Samsung was manufacturing 67 million phones in India, mostly at its other base in Tamil Nadu, Southern India. The plant started with the manufacture of televisions way back in 1997, and the mobile phone manufacturing unit was added in 2005. In a year's time, the new facility is ready for production, which the double output for the company.

As a result of the latest investment in the Noida factory, the production capacity of smartphones is expected to rise to 12 million units a month from the existing 5 million.

Not just mobiles, the expansion of the current facility will double Samsung's production capacity of consumer electronics like refrigerators and flat panel televisions, further consolidating the company's leadership in these segments. "The investment reaffirms Samsungs commitment to Make- in-India and Make-for-India and to the state of Uttar Pradesh", Samsung India had said in a statement. Keep in mind that the 120 million means feature phones as well.


In India, the smartphone market stood at 127 million for the year in terms of shipments for 2017, according to data from research firm IDC.

Chinese smartphone maker Xiaomi said in April it will set up three more factories in India.

Samsung's reputation was dealt a blow by the bribery conviction of Lee Jae-yong, who was a key figure in the scandal that ousted former South Korean leader Park Geun-hye following massive nationwide protests, and was sentenced to five years in jail last year.

The company now has over 10 per cent of its overall production in India and aims to take it to 50 per cent over the next three years. After smartphones, they can go into building top-of-the-line products in other categories like TVs, refrigerators as advance manufacturing in India still lags behind.

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