Chinese
companies are racing with Americans
in entering India in outsourcing.
Chinese telecom equipment major
Huawei Technologies is in the process
of setting up a manufacturing plant
in India with an investment of US$60
million.
According to media sources, Chinese
telecom equipment major Huawei Technologies
is in the process of setting up
a manufacturing plant in India with
an investment of US$60 million for
which the company has sought approval
from the government.
"We are planning local manufacturing
in India and will invest US$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 the
local manufacturing unit would be
a mandatory condition as well as
enabling the company to deliver
quick customer service.
The proposed center, to be established
in Bangalore, will focus on NGN
(Next Generation Network) fixed
wireless terminals and the designing
process of Huawei's products.
Huawei is hopeful of starting the
facility this year once given the
FIPB nod, he added.
Huawei's decision setting up the
manufacturing plant in India follows
the policy decision of the Department
of Telecom to make vendors mandatorily
have a production unit in the country.
Its rivals like Nokia and Ericsson
already have manufacturing facilities
in some form or other in India
