NEW DELHI: Chinese handset and telecom equipment maker Huawei is starting printed circuit board, or PCB, assembling by setting up its SMT (surface-mount technology) line in partnership with its contract manufacturing partner, Flex, in Sriperumbudur near Chennai
The company has also expanded the capacity to support the growth in the country.
“The deployment of the SMT line is in full swing. We will achieve full capacity in the next two months. It’s a long-term effort. We are reinforcing our India-first focus for sure. This is going to swell our growth to get into top three brands,” P Sanjeev, vice-president (sales) of Huawei India—Consumer Business Group, told ET. Huawei’s smartphones will have India-assembled PCBs within two months.
The executive also said the brand has been heavily impacted by the recent rupee fluctuation and the PCBA duty. “This impacts your price by at least 5-6%. Some brands have raised the prices, but we have decided that we are not going to pass this cost on to the consumers. We are holding on to the losses. I would also look forward to seeing how it stabilises,” he said.
Xiaomi, India’s top smartphone vendor recently raised prices of smartphones and television sets, following the government's move to impose 10% duty on imports of populated PCBs, camera modules and connectors. Xiaomi has also started PCB assembling in Sriperumbudur in collaboration with Foxconn.
Huawei, or Honor, was the fastest growing smartphone brand with 146% growth in first quarter of 2018, and became the fifth largest smartphone brand in India with 3.4% share.
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