a significant commitment by HP, aligning strongly with the Indian government’s “Make in India” and “Atmanirbhar Bharat” (Self-Reliant India) initiatives, especially in the crucial electronics and IT hardware sector.
Here is a summary of the key points and further details on HP’s “Make in India” efforts:
🇮🇳 HP’s Commitment to “Make in India”
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Goal of 100% Local Manufacturing: HP plans to manufacture every PC it sells in India locally within the next 3 to 5 years. This ambitious goal transforms the company’s operational footprint in the country.
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India as an Export Hub: The long-term vision is to establish India not just as a domestic manufacturing base, but as a global PC export hub, diversifying HP’s global supply chain.
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Initial Manufacturing Location: HP has already commenced manufacturing various PC products, including laptops, desktops, and monitors, at a Flex facility in Sriperumbudur, near Chennai, Tamil Nadu. This operation began with commercial desktops in August 2020 and expanded to a wider range of PC products by December 2021.
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PLI Scheme Partnership: HP has partnered with Dixon Technologies’ subsidiary, Padget Electronics, to manufacture notebooks, desktops, and all-in-one PCs under the Indian government’s Production Linked Incentive (PLI) 2.0 scheme for IT Hardware.
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This production is planned to take place at a new facility in Oragadam, Chennai, which is expected to create 1,500 direct jobs and have a peak capacity of producing 2 million units annually.
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📈 Broader Context
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Government Incentives: The Production Linked Incentive (PLI) scheme for IT Hardware, with a total outlay of $17,000 crore, is a major driver, attracting global companies like HP to boost local value addition and manufacturing.
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Growth in Electronics Manufacturing: India’s overall electronics manufacturing sector has seen massive growth, and initiatives like this are key to reducing import dependency and positioning India as a global electronics manufacturing powerhouse.
HP’s move demonstrates a clear commitment to integrating its India operations into its global manufacturing strategy, leveraging local expertise and government support to capture the growing domestic and potential export markets.