Chinese smartphone maker Xiaomi announced Monday that it will begin assembling handsets in India as the company charges into the fast-growing market.
Xiaomi, known for its affordable but high-quality headsets, will produce its smartphones in a plant run by Taiwanese contract manufacturing company Foxconn, which agreed to spend $5 billion on research and development in state of Maharashtra, the Wall Street Journal reports.
The agreement is part of Indian Prime Minister Narendra Modi’s “Make in India” initiative, meant to transform India into a global manufacturing hub. Xiaomi, too, will benefit from tax breaks and lower inventory costs, per the Journal.
The Indian market has already proven highly profitable for Xiaomi, whose low-cost smartphones have rapidly sold out in the developing country. Other competitors, like Samsung, have also taken steps to enter the lucrative Indian market.
Read next: Why Xiaomi Terrifies the Rest of the Tech World
- For Both Donald Trump and Alvin Bragg, the Central Park Jogger Case Was a Turning Point
- If Donald Trump Is Indicted, Here's What Would Happen Next in the Process
- Alison Roman Won't Sugarcoat It
- Why Not All Observant Muslims Fast During Ramadan
- All of the Other Major Investigations Into Donald Trump
- Who Should Be on the 2023 TIME100? Vote Now
- The Case for Betting on Succession's Tom Wambsgans
- Postmaster General Louis DeJoy's Surprising Second Act
- Column: Ozempic Exposed the Cracks in the Body Positivity Movement
