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Xiaomi plans to setup two new manufacturing plants; to launch more devices in India

The Chinese manufacturer, Xiaomi is planning to setup two new manufacturing plants in India, according to a report in Economic Times. It is also said that apart from the Redmi Note 3 and Mi 5, it will also launch various devices this year.

Xiaomi entered India in July 2014, and started local manufacturing just over a year later. It has partnered with the world’s largest contract manufacturer, Foxconn, which now makes 75% of Xiaomi’s phones at its Sri City plant in Andhra Pradesh. The company’s President Bin Lin has said that Xiaomi and Foxconn are in talks to open two more factories and Foxconn is in talks with some state governments, on which Xiaomi India head Manu Kumar Jain added that, “at least one of them up and running within this year”.

And taking advantage of the recent Union Budget recommendations, which made local manufacturing of batteries, chargers and other mobile phone accessories cheaper. “We’ve already started working on bringing some of those local sourcing suppliers to India,” Lin said. The company already sells over 1 million phones a quarter.
“There were 150 brands in China, now only 30 are left where six of us control 60% of the market. In India, there are 170 brands and its going up… it will drop to 30 here too because it’s not sustainable,” He further added “The carrier share in the US is about 30-40%… for us to enter at least half the market should be open.”
– said, Bin Lin, co-founder and president, Xiaomi.
Xiaomi India head Manu Jain said that single-brand retail license was an exciting opportunity for the company, but didn’t specify if the smartphone maker had already applied for one. Xiaomi has recently launched Mi5 at MWC 2016, which is said to hit the Indian market in April, along with many new devices throughout this year.
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