Samsung Electronics Co., the South Korean maker of Galaxy phones, said it is opening the world's largest mobile phone manufacturing facility on the outskirts of Delhi, as smartphone demand surges.
Not China or South Korea - and certainly not the United States - the tag of housing the world's largest mobile factory has straight away put Noida on top of the world manufacturing map when it comes to consumer electronics.
Uttar Pradesh chief minister Yogi Adityanath has already visited the Samsung plant in Noida ahead of inauguration by Modi and Moon at 5 pm.
Samsung's Noida plant was set up in 1996 where it has been manufacturing smartphones, refrigerators and flat-screen televisions. The company started producing refrigerators at the plant in 2003 while mobile phone production started in 2007.
In June last year, the South Korean giant announced a Rs 4,915 crore investment to expand the Noida plant and, after a year, the new facility is ready to double production. Under intense competition from Apple Inc. and Chinese rivals like Oppo, Vivo, Xiaomi, Gionee and Lenovo, Samsung plans to make India its export hub for countries in Europe, Middle East and Africa.
Previous year in June, Samsung has announced a massive Rs 4,915 crore investment to expand the Noida plant. India is a big opportunity across price segments, including 2G feature phones.
India's smartphone market grew 14 percent with total shipments of 124 million units in 2017, the fastest pace of growth among the top 20 markets, according to International Data Corp. "It makes sense for Samsung to build a bigger manufacturing base here", Jaipal Singh, Senior Market Analyst, IDC, told IANS.
Samsung's Mobile factory in India: What time will it be inaugurated? .
Prime Minister Narendra Modi and South Korean President Moon Jae-in will be landing together at a quickly prepared helipad adjacent to the factory, according to IANS. The Delhi-Noida-Direct (DND) flyover will be blocked from 4 pm to 5.30 pm on account of the same.
"This will help Samsung bring some local features to the devices powered by R&D here".
Samsung has two manufacturing plants - in Noida and in Sriperumbudur, Tamil Nadu - and five research and development centres in India. There are two in Bengaluru, one in Pune, one in Delhi and one in Noida.
PM Modi has pushed "Make in India" initiative, encouraging companies to set up plants in India.
The company is aiming to increase the overall production capacity by 50 percent, which is now at 10 percent.
Samsung is expected to create 15,000 jobs through the new manufacturing unit.