Murata Manufacturing / iPhones may become cheaper! Murata will shift work from China to India

Murata Manufacturing: India is unexpectedly benefiting from the ongoing trade competition between China and the US. Global companies are looking for alternative markets to reduce their dependence on China, and India is emerging as a major contender in this. In this sequence, Japanese company Murata Manufacturing, which makes multi-layer ceramic capacitors (MLCC) for Apple, is also considering strengthening its presence in India.

Plan to shift production to India

Murata Manufacturing, which currently does 60% of its production in Japan, plans to reduce this ratio to 50% in the coming years. The company is running various simulations to speed up its investment in India. These capacitors are used in everything from Apple and Samsung smartphones to Sony's gaming consoles.

Why is India an attractive destination?

Developing manufacturing capabilities - The Government of India's 'Make in India' initiative and production-linked incentive (PLI) schemes are attracting global companies.

Growing domestic demand - The demand for smartphones and other electronics products in India is growing rapidly.

Cheap labor and favorable policies - Low-cost production facilities in India compared to China and the government's investment-promoting policies make it competitive.

Murata's investment in India

Murata Manufacturing has leased a plant at Onehub Chennai Industrial Park in Tamil Nadu. It plans to start packaging and shipping ceramic capacitors at this plant from the next financial year. The move is part of Murata's long-term strategy in India to strengthen its role in the global supply chain by increasing production locally.

Growing interest of global companies in India

• Apple recently started production of its AirPods wireless earphones in India.
• Many mid-range smartphone makers from China are also planning to set up their new plants in India.
• India is rapidly emerging in the electronics and technology sector, attracting foreign companies to invest here.

Conclusion

The global trend of reducing dependence on China is a golden opportunity for India. Investments in India by companies like Murata Manufacturing will strengthen the country's economy, increase employment opportunities and help establish India as a major electronics manufacturing hub. If the government and industry together use this opportunity properly, India can become a global hub for electronics production in the future.