Samsung is one of the biggest smartphone manufacturers in the world. According to the Economic Times, the South Korean giants have started the production of smartphone displays in Noida, Uttar Pradesh. Samsung Display, the display arm of the smartphone manufacturing company, has started making display panels in their factory in Noida. This factory is the largest smartphone manufacturing facility, thus it has enough space to make displays as well.
The South Korean company already makes 70% of displays for TVs, mobiles, tablets, and others in Asian countries like China, Vietnam, and South Korea. Its expansion in India will now generate more displays from the Asian continent. The Government of India has been pushing a number of incentives to make India a powerful manufacturing hub. If companies opt to exit China, India wants to remain a sound option.
The same report says that the production of display panels has started this month only and will help to create around 500 direct jobs and 1300 indirect jobs. It was also reported earlier that India has offered many financial incentives to the South Korean giants for setting up a display factory in Noida. The financial incentives here can be of various types.
A few weeks backs, India approved a $1.02 billion incentive to boost local manufacturing. They are also trying to attract a lot of chipmakers to start their production. Samsung Display has invested about Rs 4,825 crore or approximately $653 million for this shifting of display production from China to India.
Both, the state and the central government are helping Samsung financially so that they can be here for a longer time. The Uttar Pradesh government will give Rs 250 crore whereas the central government will issue Rs 460 crore from the Centre’s Scheme for Promotion of Manufacturing Electronic Components and Semiconductors.
Hopefully, the Indian government achieves its target of a higher rate of manufacturing in India so that it remains an attractive destination for all.