- Samsung expands India manufacturing via PLI, focusing on displays, components, and exports.
- Samsung won’t shift Vietnam capacity; higher demand may expand Noida operations.
- PLI-driven exports lift India's revenue 37%, exports form 42% share.
Samsung aims to expand its manufacturing presence in India, focusing on local production, exports, and component manufacturing instead of relocating plants from other nations. The firm has applied to the production-linked incentive (PLI) program for parts to produce mobile phone displays in India. It has also contacted the government requesting an extension for the smartphone PLI program, which recently concluded.
JB Park, the president and CEO of Samsung’s Southwest Asia, mentioned that the company is eager to establish India as a significant hub for technology and manufacturing. He mentioned that Samsung is conversing with the government regarding a potential extension of benefits in a subsequent stage of the PLI scheme.
Samsung has no intention of relocating its current manufacturing capacity from nations such as Vietnam to India. Vietnam continues to be the primary global manufacturing center for the company. However, Park mentioned that India might attract greater investment if demand increases organically.
He stated that relocating existing capacity is not economically viable. The news report indicated that if Samsung requires additional capacity, it would make sense to expand operations at its Noida facility.
Samsung is willing to source semiconductor chips from India, as long as they are competitively priced and meet quality criteria. This may bolster India’s goal of becoming a more significant participant in the worldwide chip supply chain. Park mentioned that Samsung favors collaborating with local partners when feasible and aims to slowly widen its supplier network in India as technology and quality improve.
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Samsung confronts intense rivalry in India's high-end smartphone market, particularly from Apple, which has expanded its manufacturing operations in the nation. Apple has been moving production out of China because of geopolitical issues. The news article cited Park mentioning that while iPhones have gained popularity with younger buyers recently, Samsung remains unconcerned since user preferences often shift.
Samsung attributed its increase in exports from India to the PLI scheme. During the financial year 2025, 42 percent of Samsung’s revenue in India came from exports. The revenue of the company in India increased by 37 percent compared to the previous year, surpassing Rs 1 trillion.