Weekly News Updates-India Sep 6 to Sep 12

IT hardware companies required to register for imports; Zetwerk to move into EV components and IT hardware space; India’s industrial output grows 5.7% in July; Foxconn and STMicroelectronics to set up semiconductor plant; Reliance considers entering the chip manufacturing industry; India ranks 3rd in global EV charging affordability; Reliance and Nvidia collaborate to build AI infrastructure; Foxconn considering to make EVs in India

IT hardware companies may need to register for imports in FY24

The Indian government has informed IT hardware manufacturers that it is considering an import registration system without quotas or licensing requirements at least for this fiscal year. The decision will relieve pressure on huge electronics manufacturers like HP, Dell, Apple, Samsung, Lenovo, Asus, and Acer.

Official claim that for the current fiscal year, the government will merely keep track of the source and value of devices as part of an import management system. Companies will be able to import however much they need to in order to meet demand. According to officials, quotas and other compliances will start to apply later or at the beginning of the next financial year.


Zetwerk to move into EV components and IT hardware space

Rahul Sharma, co-founder of Zetwerk, told ET that the manufacturing services company is moving into the computer hardware market by producing laptops and preparing to manufacture components for EV manufacturers. Zetwerk already manufactures wearables and hearables.

In the next three years, Zetwerk, which achieved unicorn status in 2021, plans to invest more than Rs 1,000 crore in its consumer electronics division and expand its presence outside of north India by building three new facilities there, according to Sharma.

In terms of revenue, he predicted Zetwerk would rank among the top five EMS players in the nation, and he hoped to increase that revenue by two to three times in the upcoming financial year.


Editor’s Note: A start-up which became a Unicorn in 2021, Zetwerk is an example of a successful case of EMS. The article is the announcement of its foray into Computer hardware and components for EVs.

India’s industrial output grows 5.7% in July from 3.7% in June

According to data released by the Ministry of Statistics, India’s industrial output increased 5.7% from the year on year in July. An expansion of 4.8% was predicted by analysts in a Reuters survey. The June industrial output was slightly upgraded from 3.7% to 3.8%.

From 3.1% in June, manufacturing production increased by 4.6% in July. According to the report, mining activity surged 10.7% in July while electricity generation jumped by 8%. Mining activity climbed 7.6%, and energy generation jumped 4.2% in June.

Editor’s Note: This growth is a 5 month’s high and is mainly due to growth in manufacturing, mining, and power sectors.

Foxconn and STMicroelectronics to set up semiconductor plant in India

According to a report, STMicroelectronics NV and Taiwan’s Foxconn Technology Group are working together to try to develop a semiconductor facility in India.

According to Bloomberg, Foxconn of Taiwan and the French-Italian STMicro are requesting state support for a semiconductor facility that will produce 40-nanometer chips.

After Foxconn chose to leave the joint venture with Vedanta, the action was taken about two months later.


Reliance considers entering the chip manufacturing industry, meets with possible partners

According to sources, Reliance Industries (RELI.NS) has started to investigate entering the semiconductor manufacturing industry as a way to meet its supply chain requirements and satisfy India’s expanding chip demand.

Reports claimed that the telecoms-to-energy conglomerate, supported by the Indian government, has undertaken preliminary discussions with international chipmakers who may end up as technological partners. Names of the foreign chipmakers could not be immediately learned.


Petrol vs EV: India ranks 3rd in global EV charging affordability

According to research by Australian data aggregator Compare the Market, Argentina, Malaysia, and India are the three nations where electric vehicle (EV) charging costs are the lowest worldwide, while Denmark, Italy, and Germany are among the most.

The study examined the cost of charging the most recent Hyundai Kona EV in 50 nations and rated them according to the price of electricity used per 100 kilometres of driving. It also estimated how much money a person would save on petrol if they drove an EV rather than an ICE car.


Reliance and Nvidia collaborate to build AI infrastructure in India

With Indian giants like Reliance Industries and Tata Group, NVIDIA announced AI cooperation to develop cloud infrastructure, language models, and generative applications.

As NVIDIA encounters unique challenges in a few chip exports to China and other nations subject to US sanctions, this intriguing deal is anticipated to aid it in furthering its expansion into the South Asian nation’s developing AI environment.

NVIDIA will provide the computational capacity required for creating a cloud AI infrastructure through the Reliance cooperation. At the same time, Jio, a Reliance unit, will oversee consumer engagement and assist with infrastructure maintenance.


Foxconn considering to make EVs in India; Tamil Nadu potential location

According to Hon Hai Technology Group (Foxconn) chairman & CEO Young Liu, India is poised to become the “new manufacturing centre in the world,” with the supplier ecosystem likely to develop more quickly than it did in China.

According to Liu, Foxconn would increase its operations there as demand from Indian customers develops. In a statement released in Taiwan, the chairman added that Foxconn continues to expand its presence in India in response to customer needs.

Foxconn is looking into prospects to produce electric vehicles (EVs) in India, and one of the states it is considering for a plant location is Tamil Nadu.