The US has regularly accused China of spreading Covid-19 epidemic, which will create a worse impact on global trade. Several companies in different countries are now exiting China. Currently, Japan has allocated $ 2.2 billion to help companies exit China. At the same time, members of the European Union are also working on a plan to reduce dependence on Chinese suppliers.
Now Indian smartphone manufacturer Lava International stated that the company is moving its business from China to India. After the recent policy changes in India, the company has decided to take this step. This news means from earlier factories in China exported smartphones worldwide now this work will now be done from India.
Lava’s CMD stated that its vision is to export smartphones from India to China. Lava International now intends to invest Rs 800 crore over the next five years to expand its smartphone development and manufacturing operations in India. This step by Lava is quite crucial as it would hire more and more people from India and thus contributing to boosting the economy. It is also a noteworthy thing that India has the highest smartphone users worldwide.
Hari Om Rai, CMD of Lava International, stated that the company has at least 600 to 650 Indian employees in China in the field of product design. Lava now intends to transfer the design as well as manufacturing activity to India. The local factories in India are also meeting the sales requirements in India with plenty of resources.
India is proposing to bring American companies to start the operations here. In April 2020, the Indian government reached with more than 1,000 American manufacturing companies and offered them to move business productions and manufacturing hubs from China to India. These companies manufacture more than 550 products. The government’s primary focus is on attracting medical equipment suppliers, food processing units, textiles, leather, and auto parts manufacturers.