Foxconn pulled off the 19.5 billion$ deal with Vedanta:
As we know, Foxconn is a semi-chip conductor company that was about to set up its semi-chip conductor manufacturing in Gujarat, India. Earlier, the chairman of Vedanta Group announced that they are about to sign a deal with Foxconn to establish a semi-conductor manufacturing plant in New Gujarat.
The Chairman of Vedanta Group (Anil Agrawal) claimed that if we start manufacturing semi-conductor chips in India, it will lead to a reduction in the prices of electronics devices, and he gave an example of a laptop that currently costs 1 lakh, but after the establishment of a semi-conductor company, it will cost only around 40,000. As of now, Foxconn is out of contract with Vedanta Ltd.
Does India have a Big Opportunity?
It can be understood that many of the Indian industrialists are claiming that canceling the deal with Vedanta does not mean that Foxcon will not establish its manufacturing unit in India; they said that Foxcon can tie up with any other Indian company to establish the manufacturing plant of semi-conductor cheap.
Countries Worldwide Trying to Get The Foxconn Deal
If Foxconn sets up its semi-conductor manufacturing unit in any country, that country will get the edge in the auto industry, which will lead to a boost in the electronic sector. Countries worldwide are giving subsidies to Foxconn to come to their country for the establishment of a manufacturing unit. USA is giving incentives of around 50 billion dollars, and UK is offering incentives of around 40 billion dollars.India has also offered an incentive of 10 billion dollars and is also looking to increase the incentive amount.