Foxconn, a Taiwan based electronics contract manufacturing company, will start making Xiaomi phones in Andhra Pradesh, India, reports The Economic Times. The report mentions that this plant will be a small scale unit with a capacity to manufacture about 10,000 phones a day. However, it’s not clear when Foxcon plans to start making Xiaomi phones at this factory. Apparently, Foxconn plans to set up 10-12 manufacturing units in India, and invest about $2 billion over the next five years.

It’s worth noting that last year, Xiaomi had revealed plans of manufacturing its phones in India as it was struggling to meet the demand for its Mi handsets in the country. At the time, Xiaomi’s VP of International operations Hugo Barra had told Bloomberg that production in India will likely begin in a year or two.

Foxconn is reportedly also in talks with Japanese telecom and Internet giant Softbank to form joint venture for telecom equipment manufacturing.

Other companies setting up manufacturing units in India

– Smartphone maker OPPO is planning to set up a handset manufacturing unit in India by August this year, to primarily tend to the domestic market. The company mentions that some of its devices manufactured here will also be exported to overseas markets.

– In April this year, Chinese handset maker Gionee said that it would set up a manufacturing facility in India within 2018. The company claims it will invest Rs 300 crore to set up this plant, which will manufacture devices for India, the SAARC countries and Nigeria.

– In April last year, mobile phone manufacturer Micromax had also started manufacturing devices in the country at its Rudrapur plant. Previously, the company imported devices from China where it had tie-ups with manufacturers such as Foxconn.

– In March this year, Samsung and Sony had announced plans for setting up manufacturing bases in India as a part of the Make in India initiative. Samsung reportedly would invest as much as $500 million to $1 billion in the manufacturing unit that will produce smartphones and tablets for the company.

– Earlier this year, Spice Group had said it would invest Rs 500 crores to set up a manufacturing unit in Uttar Pradesh. The company had also signed a Memorandum of Understanding (MoU) with the Government of Uttar Pradesh for the same, as per which the UP Government will support Spice in establishing the facility by providing the necessary infrastructure, ecosystem and incentives under various schemes.