Highlights
- Samsung has applied for government incentives under the PLI scheme to expand smartphone display assembly at its Noida facility.
- The company clarified it will not shift manufacturing from Vietnam, but may increase investments in India.
- India generated $11 billion in revenue in FY2025 for Samsung with smartphones contributing 70%.
Samsung is reportedly preparing to strengthen its manufacturing presence in India. According to a recent report, the South Korean tech giant has applied for government incentives to expand mobile display assembly at its Noida facility. The move is expected to boost supply chain resilience, exports and local value addition.
Samsung Awaiting PLI Approval for Display Manufacturing
As per a report by The Economic Times, Samsung is currently awaiting approval to manufacture smartphone displays in India under the government’s production-linked incentive (PLI) scheme for components. The company has sought incentives specifically to assemble mobile phone display panels locally. Rather than focusing solely on final device assembly, Samsung appears to be gradually expanding higher-value-added manufacturing capabilities within the country.
Samsung already runs its largest smartphone manufacturing plant globally in Noida, which has evolved into a major export base over the years. The company began assembling display panels at this facility in 2021, following a shift of certain operations from China.
Now, Samsung is said to be seeking approval to further scale up smartphone display assembly at the same Noida plant. The expansion is reportedly aimed at meeting rising demand, rather than relocating manufacturing capacity from other countries.
No Plans to Shift Production From Vietnam
Samsung SWA President and CEO JB Park told the publication that the company has also applied for an extension under the smartphone PLI scheme, which recently concluded. He added that Samsung is in talks with the Indian government regarding continued incentives under a new phase of the programme. Under the PLI framework, companies are eligible for tax benefits and financial incentives if they achieve annual production targets set by the government.
Park clarified that Samsung does not intend to move manufacturing capacity from countries such as Vietnam to India. Vietnam will continue to serve as Samsung’s largest global manufacturing base. However, he noted that India could attract additional investments if demand grows organically.
The executive also revealed that Samsung may consider sourcing semiconductor chips from Indian suppliers, provided they meet global benchmarks for quality and pricing. He added that the company prefers working with local partners where possible and plans to gradually expand its supplier ecosystem as domestic capabilities improve.
India’s Growing Importance for Samsung
India has emerged as a critical market for Samsung’s global business. In the financial year 2025, the company’s revenue from India crossed $11 billion (approximately Rs. 98,700 crore), with exports contributing around 42 percent of the total, according to Samsung.
Smartphones account for nearly 70 percent of Samsung’s India revenue, while the remaining share comes from home appliances and computing products. Looking ahead, Samsung expects non-smartphone categories to contribute roughly half of its India revenue over the next decade.
FAQs
Q1. What expansion plans does Samsung have for its India operations?
Answer. Samsung has applied for government incentives under the PLI scheme to expand smartphone display assembly at its Noida facility, aiming to boost exports and local value addition.
Q2. Will Samsung shift manufacturing capacity from Vietnam to India?
Answer. No, Samsung clarified it will not move production from Vietnam, which remains its largest global base. India may see more investments only if demand grows organically.
Q3. Is Samsung considering sourcing components locally in India?
Answer. Yes, Samsung may source semiconductor chips from Indian suppliers if they meet global quality and pricing standards, as part of expanding its local supplier ecosystem.