Samsung also said it has allocated land area from its existing factory in Noida for the new plant. Samsung inaugurated its Noida mobile phone manufacturing facility in July 2018. With this facility, Samsung then said its production capacity for mobile phones in Noida from 68 million units a year to 120 million, in a gradual expansion that scheduled for completion by 2020.
Samsung has been manufacturing mobile phones in India since 2007. In June 2018, Samsung announced an investment of INR 49.15 billion, to add new capacity at the Noida plant under the Uttar Pradesh government’s Mega Policy. The Noida factory was set up in 1996.
The new plant in New Delhi is expected to help Samsung increase its capacity to produce smartphone components locally and access tax benefits that New Delhi offers. The Indian government recently announced plans to offer subsidized loans to mobile handset manufacturers in a bid to attract Apple and Samsung suppliers to open factories across the country. As part of this project, India’s Ministry of Electronics and Information Technology plans to offer interest subsidies on local borrowing by manufacturers. These proposals also include the deployment of industrial zones equipped with taxation and customs clearance, along with infrastructure such as roads, power and water supply.
