Tata Group is set to become the first homegrown iPhone maker in India for domestic and global markets after Wistron Corp. agreed to sell a plant in the southern part of the country to the conglomerate. Wistron’s board approved the sale of Wistron InfoComm Manufacturing (India) Private Ltd. to Tata for $125 million, the Taiwanese electronics manufacturer said Friday in a statement.
“Upon confirmation and signature of the relevant agreements by both parties, the deal will proceed to obtain the necessary approvals. Following the completion of the transaction, Wistron will make the required announcements and filings in accordance with applicable regulations,” the release said.
Union minister Rajeev Chandrashekhar congratulated the Tata team for taking over Wistron operations.
“Thank you @Wistron for your contributions, and great going for Apple in building a global supply chain from India with Indian companies at its helm,” he said in a social media post.
Hailing Prime Minister Narendra Modi for production linked incentive (PLI) scheme, Chandrashekhar said it has already “propelled India into becoming a trusted & major hub for smartphone manufacturing and exports.”
“Now within just two and a half years, Tata Companies will now start making iPhones from India for domestic and global markets from India,” he added.
Apple’s iPhones are mainly assembled by Taiwanese manufacturing giants like Pegatron Corp. and Foxconn Technology Group. Wistron is one of three Taiwanese iPhone manufacturers in India, along with Foxconn and Pegatron.
Tata has taken other steps to increase its business with Apple, including a hiring spree for its factory in Hosur, near Bengaluru, where it produces iPhone components. That plant stands on several hundred acres of land where Tata could add iPhone manufacturing lines in the coming years. Tata has also announced that it will launch 100 Apple stores in the country of 1.4 billion.
(With agency inputs)