Dixon has been cleared to receive sops under the PLI scheme for mobile manufacturing and currently makes phones for Reliance Jio, Motorola and Nokia
New Delhi, NFAPost: Padget Electronics Private Limited, a wholly owned subsidiary of Dixon Technologies India Limited, announced on Wednesday that it has entered into an agreement with Xiaomi to manufacture smartphones and other related products. The production will take place at Padget’s manufacturing facility situated in Noida, Uttar Pradesh.
Significantly, Dixon has been approved to receive incentives under the Centre’s Production-Linked Incentive (PLI) scheme for mobile manufacturing. It currently produces phones for Reliance Jio, Motorola, and Nokia. Xiaomi, conversely, is facing heightened regulatory scrutiny in India.
Earlier this year, in a similar initiative, Xiaomi awarded India’s Optiemus Electronics Ltd a contract to manufacture its Bluetooth neckband earphones, a previously imported product from China.
Commenting on this association, Dixon Technologies India Vice Chairman and Managing Director Atul B Lall said it gives Dixon immense pleasure to partner with Xiaomi, which is an iconic brand.
“We are delighted and encouraged by the trust they have placed in Dixon for this association. We believe this collaboration will leverage our excellence, superior execution track record, and Xiaomi’s expertise and leadership in the Indian business ecosystem. It represents a major milestone in the Indian Government’s ‘Make in India’ initiative,” said Dixon Technologies India Vice Chairman and Managing Director Atul B Lall.
According to the company’s release, Dixon Technologies India views Xiaomi as a “perfect ally who aligns with its fundamental principles of quality, engineering expertise, and a commitment to customer satisfaction”.
“We are confident this is just the beginning of a long and fruitful relationship, and there is immense potential to further build on shared capabilities to deliver sustainable growth,” said Dixon Technologies India Vice Chairman and Managing Director Atul B Lall.
The Centre has been encouraging smartphone manufacturers to involve more local players in their manufacturing ecosystem. This development follows a July announcement about exploring manufacturing and exports after the two parties met with the Minister of State for Electronics and Information Technology, Rajeev Chandrasekhar, at his office.
“Leadership of @XiaomiIndia met me today – have set out to them our expectations of them increasing exports, deepening supply chain ecosystem and value addition in India, and all products to be data privacy compliant,” Chandrasekhar posted on social media platform X.