NEW DELHI : Noida-headquartered contract manufacturing firm, Dixon Technologies (India) Ltd, is in the process of inaugurating the setting up of a 1 million square-foot assembly facility for Chinese electronics brand Xiaomi, two people with knowledge of the matter told Mint. This will be one of two such new facilities by Dixon, the second of which is expected in one of the southern Indian states—and could cater to demand from other brands and product categories.
“The new facility is coming up in Noida, and the company will be looking to produce up to 1 million smartphones per month from its new facility, once it is completed," one of the officials said on condition of anonymity since the matter was not disclosed in public yet. Bloomberg reported on Friday that Dixon is investing up to ₹400 crore over three years in the facility, which is likely to be inaugurated by the end of the year.
Dixon and Xiaomi declined to comment. To be sure, on 31 May, Rajeev Chandrasekhar, Union minister of state (MoS) for electronics and IT, said Dixon had struck a deal with Xiaomi to assemble and export the latter’s phones.
Xiaomi also signed a local manufacturing deal for its wireless neckband earphones in the audio product category with homegrown contract manufacturer Optiemus Infracom Ltd in May this year. Dixon is also one of the applicants for the Centre’s revised production-linked incentive (PLI) scheme for IT hardware, a second official said, adding that the manufacturer is already in talks with multiple laptop brands in India to strike assembly deals.
Such deals are expected to expand further, as the Centre looks to push for more local manufacturing across all electronics categories. On 3 August, the Directorate General of Foreign
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