Samsung 'Makes It In India' as CEO Praises Noida Factory
India, one of the largest nations on earth, is gaining strategic importance as a hub for global manufacturing.
India boasts geopolitical stability, lower tariffs, extensive natural resources, burgeoning tech enthusiasm and lower labour costs compared to the current biggest manufacturing superpower - China.
During COVID-19 the country famously proved its manufacturing prowess through rapidly producing vaccines, something which has since cemented it as a global leader in speedy and affordable pharmaceutical manufacturing.
Domestically, the Indian government and industrial sector have sought to further encourage this and attract foreign investment, Improving India's industrial infrastructure and increasing the ease of doing business through the ‘Invest India’ scheme.
They’ve pursued strategies ranging from offering industry-specific incentives and financial packages to providing opportunities for the extraction of critical minerals and advancement of semiconductor manufacturing.
India has specific economic zones around semiconductors and fabrication plants that provide a major financial incentive.
For these reasons and more, multinational corporations like GE, Phillips, Siemens, PepsiCo, ABB and Micron have all invested in production facilities and R&D centres on Indian soil.
One area where India has seen extensive manufacturing investment is in electronics manufacturing.
The US, Germany and Japan are major technology transfer partners for the nation, choosing to manufacture their mobile phones and electronics in India.
The latest company to signal further investment in India is Samsung.
The South Korean manufacturing giant was one of the first companies to recognise the opportunity there.
Samsung: investing in India
Last week, Jong-Hee (JH) Han, Vice Chairman, CEO and Head of the Device eXperience (DX) Division at Samsung Electronics made his second visit this year to India.
This trip was to Samsung’s Noida factory, the world's largest mobile factory.
With an annual production capacity of up to 70,000 units, the facility also manufactures tablets and refrigerators- signalling the growing significance of India for Samsung’s manufacturing future.
This move marks Samsung as the first foreign hardware producer to initiate local laptop manufacturing without prior capabilities in the country
The company chose do so after the Indian government had heightened restrictions on the import of laptops and tablets.
“India is one of the biggest and fastest-growing markets globally and offers a huge opportunity for Samsung,” says Jong-Hee Han.
“We were among the first companies to invest in India and I am happy that the Noida factory has emerged as one of our biggest facilities, manufacturing not only for India but for the world.”
This global perspective is reflected in Samsung’s ‘AI for All’ vision, unveiled earlier this year.
Samsung aims to offer AI solutions that enhance consumer lives, inspiring superior connection and collaboration.
Products reflecting this vision include Samsung Galaxy’s AI-powered premium smartphones and Bespoke AI home appliances which include ACs, washing machines and refrigerators.
These home appliances are interconnected through a device ecosystem, heightening convenience, saving energy and providing superior comfort.
In India, premium home appliances are growing in popularity.
Consumers in particular are shifting to large-capacity refrigerators with enhanced features, making the nation an ideal location for Samsung to further its manufacturing and ‘AI for All’ vision.
Samsung currently has two Indian manufacturing plants: one in Noida and one in Sriperumbudur.
In Noida, the company also has a design centre and two R&D facilities. Samsung has also expanded to form another R&D facility in Bengaluru.
Jong-Hee Han praises the work being done there by India-based R&D teams to drive innovation and advancement.
“India has a large population of tech-savvy young consumers that inspire us to innovate,” he says.
“I am proud that many young, enterprising engineers who are playing an important role in the development of AI are working at our R&D centres in India.”
Samsung remains deeply committed to “making it in India”, strengthening its relationship with the country through facilities, R&D centres and visits from senior executives.
Noida factory remains one of Samsung’s biggest facilities, manufacturing for the domestic Indian and global markets.
As Samsung pursues business growth and expansion, its presence in India is likely to only increase.
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