Nokia maker HMD Global open to sourcing chips from India, says top executive

livemint.com:

Mint that the country will be a production and export hub for both brands. HMD will start introducing its own brand of devices – smartphones, feature phones, tablets, wearables and hearables – in the coming quarters, while continuing to introduce Nokia smartphones and feature phones across markets, Kunwar added. “We’re looking at India as a sourcing hub and supply-chain hub.

We’re open to sourcing chips from India if they meet quality and cost factors," he said, adding that HMD was looking at increasing its local sourcing of components, including batteries and chargers, from the present level of 50%. Also read: Is the worst over for India's smartphone industry? “Thanks to government initiatives such as PLI (production-linked incentive) schemes, some products have become export-competitive, which is helping the industry to move some of [their business] from China to India. Now if we get more local sourcing, like chipset packaging, definitely we will look into it," he added.

Kunwar said that several places, including Europe, have introduced strong legislation regarding sourcing, and specifications have been changed or restrictions imposed on imports from certain countries. These changes could shape India’s manufacturing capabilities and allow HMD to export to Europe from India. He said that HMD feature phones and smartphones are likely to be launched in India by June or July and will be designed and manufactured locally.