Dixon Technologies Suggests Alliance with Xiaomi to Manufacture and Export Smartphones

To develop and export Xiaomi mobile phones, electronics producer Dixon Technologies (India) Limited has suggested cooperation with Xiaomi India. The prospective alliance will become official once certain conditions are met. The manufacturing business made the statement on Wednesday in a press release. Rajeev Chandrasekhar, Union Minister of State for Electronics & Information Technology, Skill Development & Entrepreneurship, congratulated the proposed collaboration between the two businesses.

Are Mobile Phone Makers on trend for investing more in manufacturing?

Dixon Technologies (India) Vice Chairman and Managing Director, Atul B Lall, commended the development of the country's EMS (Electronic Manufacturing Service) sector. Lall emphasised that India was well positioned in the business and noted the trend of mobile phone makers investing more in manufacturing. "The Indian EMS market is moving in the right direction. The majority of the world's mobile phone manufacturers and their supply chain partners have now invested in manufacturing, positioning the Indian EMS industry to reach its full potential in the upcoming years, he said.

The Vice Chairman expressed delight over the potential collaboration and what it meant for both businesses while recognising Xiaomi's expansion in the Indian market. 

Xiaomi has developed brand equity over the years

"Xiaomi, which has set substantial brand equity over the years in India, is renowned for its high quality and efficiency and is considered a significant force in the market for smart mobile phones there. People all over the world have a strong belief in their products. The confidence they have placed in Dixon for the proposed association, he said, "has us thrilled and pleased. "This partnership will leverage Dixon's manufacturing excellence, superior execution track record, and Xiaomi's expertise & leadership in the Indian business ecosystem, and it represents a major milestone in the Indian Government "Make in India" initiative," he continued.

Conclusion

Dixon hopes to begin manufacturing Xiaomi smartphones by August once the deal is in place. The business is building a new 320,000-square-foot production plant in Noida. The government asked the Chinese corporation to collaborate with domestic manufacturers, which led to the creation of this new alliance. The government seeks to strengthen the supply chain and exploit the production-linked incentive programmes by collaborating with domestic businesses.