Samsung seeks PLI extension, eyes display manufacturing expansion in India

While Vietnam remains the company's main global manufacturing hub, Samsung's Southwest Asia President JB Park said India could see more investment if demand rises naturally

Samsung is looking to deepen its manufacturing footprint in India, betting on local production, exports and component-making rather than shifting plants from other countries. The company has applied under the production-linked incentive (PLI) scheme for components to manufacture mobile phone displays in India, The Economic Times reported.

 

It has also approached the government seeking more time under the smartphone PLI programme, which recently ended.

 

JB Park, president and CEO of Samsung’s Southwest Asia region, said the company is keen to make India a key technology and manufacturing centre. He added that Samsung is also in talks with the government on a possible continuation of incentives under a new phase of the PLI scheme.

 

 

No shift from Vietnam, but room to grow in Noida

 

Samsung does not plan to move existing manufacturing capacity from countries like Vietnam to India. Vietnam remains the company’s main global manufacturing hub. However, Park said that India could see more investment if demand rises naturally.

 

He said that moving already-installed capacity does not make business sense. Instead, if Samsung needs to add new capacity, expanding operations at its Noida facility would be the logical step, the news report said.

 

Chips from India possible if costs make sense

 

Samsung is open to sourcing semiconductor chips from India, provided they are competitively priced and meet quality standards. This could support India’s ambition to become a stronger player in the global chip supply chain.

 

Park said that Samsung prefers to work with local partners wherever possible and gradually expand its supplier base in India as technology and quality improve.

 

Samsung faces stiff competition in India’s premium smartphone segment, especially from Apple, which has increased its manufacturing presence in the country. Apple has been shifting production away from China due to geopolitical concerns. The news report quoted Park as saying that although iPhones have become more popular among younger consumers in recent years, but Samsung is not overly worried as user preferences tend to change over time.

 

He pointed out that Android phones still dominate India’s smartphone market, accounting for nearly 90 per cent of users, where Samsung continues to hold a strong position.  ALSO READ | Foxconn's iPhone factory near Bengaluru hires 30,000 in under a year

Exports drive growth under PLI scheme

 

Samsung credited the PLI scheme for helping boost its exports from India. In the financial year 2025, exports made up 42 per cent of Samsung’s India revenue. The company’s India revenue rose 37 per cent year-on-year to cross Rs 1 trillion.

 

Samsung exports a wide range of products from India, including its high-end flagship smartphones. Park described the export growth as steady and sustainable, provided policy support continues.

 

Samsung is awaiting government approval to expand smartphone display assembly at its Noida plant. The project is a brownfield expansion that began in 2021. The company is also looking to increase sourcing from Indian suppliers to raise local value addition over time, the news report said.