Huawei to set up a plant in India

PTI[ TUESDAY, OCTOBER 25, 2005 02:05:29 PM]

SHENZEN: Chinese telecom equipment major Huawei Technologies is in the process of setting up a manufacturing plant in India with an investment of $ 60 million for which the company has sought approval from the Government. "We are planning local manufacturing in India and will invest $ 60 million for the same. We applied in March 2005 for approval for the facility from Foreign Investment Promotion Board and waiting for the decision," Huawei Tech spokesperson Fu Jun said. He said the proposed manufacturing plant would meet the future bidding criteria in telecom PSUs where local manufacturing unit would be mandatory condition as well as enable the company to deliver quick customer service.

The proposed center to come up in Bangalore will focus on NGN (Next Generation Network), fixed wireless terminals, some part of 3G equipment, designing process of Huawei's products. Huawei is hopeful of starting the facility this year once the FIPB nod comes in, he added. Huawei's decision on manufacturing plant in India follows the policy decision of Department of Telecom to make vendors mandatorily have a production unit in the country. Its rivals like Nokia and Ericsson have manufacturing facilities in some form or other in India.