India Economy Thread

[hembo]

Chinese firms turn to Indian exporters to help fill US orders​

By Shruti Srivastava, Bloomberg Last Updated: Apr 28, 2025, 07:24:00 AM IST

Synopsis
Trade war prompts Chinese firms to approach Indian exporters. They seek help to fulfill US orders due to tariffs. Indian companies are offered commissions for sales. Sectors like hand tools and electronics see increased queries. Indian government is in talks with the US for a trade deal. Some American firms are also approaching Indian manufacturers.

 

[kmc_chacko]

Chinese firms turn to Indian exporters to help fill US orders​

By Shruti Srivastava, Bloomberg Last Updated: Apr 28, 2025, 07:24:00 AM IST

Synopsis
Trade war prompts Chinese firms to approach Indian exporters. They seek help to fulfill US orders due to tariffs. Indian companies are offered commissions for sales. Sectors like hand tools and electronics see increased queries. Indian government is in talks with the US for a trade deal. Some American firms are also approaching Indian manufacturers.

US vs China tariff war forcing China to flood its materials to lower tax rate nations.

We should prefer exporting local products to US, any imports from China must be taxed heavily for protect local industry.

 

[hembo]

US vs China tariff war forcing China to flood its materials to lower tax rate nations.

We should prefer exporting local products to US, any imports from China must be taxed heavily for protect local industry.

These enquiries are not for trading Chinese products, as it will call for sanctions. These are for Indian made products to be sold against their POs for a commission.

 

[agidest]

Japan's Rakuten to invest at least $100 million in India increase hiring, top executive says​

April 30 (Reuters) - Japan's Rakuten (4755.T), opens new tab aims to invest at least $100 million and increase its headcount by 8% in India this year to strengthen its global operations, a top executive of the internet conglomerate told Reuters.
Rakuten plans to invest "at least three digit millions dollars" to scale up technology, infrastructure and hiring, Rakuten's India CEO Sunil Gopinath said, without specifying the exact amount.

The company, which operates in sectors such as fintech, e-commerce, and telecom, is using artificial intelligence to enhance operations across key areas including, business tools, customer experience and employee productivity, he said.
Rakuten currently employs 4,000 people in India - 90% of whom are tech staff - and plans to recruit people who it considers "power users" of AI.
"We look for AI-savvy people that we can intersperse across the company," Gopinath said.
The India global capability centre (GCC) is a key contributor in building Rakuten Pay, a major payment app in Japan, and its SixthSense platform, which is used to track the health of a system and flag issues.
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"It (SixthSense) is almost like Sherlock Holmes, so we are able to figure out not only what has happened automatically, but we can actually project and predict an issue happening before it happens," Gopinath said.
The SixthSense platform is used by a wide range of clients including banks, healthcare companies, airlines, and the government of India.
Rakuten generated a profit of 10.5 billion yen ($73.62 million) in fiscal year 2024 by using AI, and aims to double this in 2025. Last year, employees almost halved their time to create sales material, according to its full-year earnings presentation.
Rakuten's India GCC operates about 50% of the company's 70-plus businesses, with offices at multiple locations in the country, including two centers in the southern city of Bengaluru.

The market size of India's GCCs is expected to be valued at up to $105 billion by fiscal year 2030 from $64.6 billion in 2024, according to a report by IT industry body Nasscom and consulting firm Zinnov.

 

[hembo]

Why open new threads for probable investment of mere 100 million. These can be posted in Economy thread.

 

[hembo]

Rupee rises past 84 per dollar for first time since Oct 2024, analysts abandon bearish outlookhttps://m.economictimes.com/markets...don-bearish-outlook/articleshow/120811057.cms

 

[nahtanbob]

One more link

Apple Is Moving US iPhone Assembly to India Amid Tariff Turmoil

Apple CEO Tim Cook also said Vietnam will manufacture almost all iPad, Mac, Apple Watch and AirPods products sold in the US.

www.cnet.com

 

[nahtanbob]

https://www.bloomberg.com/news/articles/2025-05-01/apple-to-source-19-billion-chips-from-us-factories-cook-says

Apple to Source Billions of US-Made Chips in Supply Chain Shift

 

[nahtanbob]

Not just iPhones! Apple steps up India plans as supplier Jabil eyes second facility for AirPods component manufacturing - Times of India

India Business News: Jabil, an Apple supplier, intends to increase AirPods case production in India by utilizing a second facility in Tamil Nadu. This move aligns with App

timesofindia.indiatimes.com

Not just iPhones! Apple steps up India plans as supplier Jabil eyes second facility for AirPods component

 

[ST1976]

I believe the remittances is mostly send back home by labour class from gulf and elsewhere, who go there to earn for their family. The white collar ones mostly take PR and with time their ties with their home country snap and they in fact take their wealth out of the country. Atleast this is what I have seen with my friends.

I have news that Indians buy food, clothes, and rent houses from those shops and areas, which are known for highest 'indirect' taxes of Gulf states-Arab league.
Here, worth mentioning, the Iranian are known for 2nd ranked in this regard after Indian Hindus

 

[ST1976]

Manufacturing is difficult in India, we have western style regulations and labour laws with developing world infrastructure and systems that makes manufacturing a pain

SEZs of India are of high standard, they successfully exceed old SEZs of Singapore type countries.
The SEZs of India are well connected with credible infrastructure, connecting to ports-airports etc......

I doubt Pakistan having that industrial revolution which India - China-ASEAN has realised. The iron to defeat West in all ways, india fall among those countries

 

[nahtanbob]

Apple's Manufacturing Shift Fuels India’s iPhone Growth

Apple's supply chain diversification sees India and Vietnam emerging as pivotal manufacturing hubs for US products amid tariff challenges

technologymagazine.com

Apple's Manufacturing Shift Fuels India’s iPhone Growth​

 

[Nilgiri]

@nahtanbob do you want this thread pinned since you keep updating it?

Also do you think it should be combined with IND economy thread?

 

[nahtanbob]

You can pin this. I would not it combine with other Indian economic news. Your call here.

 

[AKhan]

U.S. President Donald Trump on Thursday said he told Apple CEO Tim Cook that he doesn’t want the tech giant to build its products in India, taking shots at the company’s moves to diversify production away from China and urging him to pivot Stateside.

“I had a little problem with Tim Cook yesterday,” Trump said. “I said to him, ‘my friend, I treated you very good. You’re coming here with $500 billion, but now I hear you’re building all over India.’ I don’t want you building in India.”

Trump was referencing Apple’s commitment of a $500 billion investment in the U.S. which was announced in February.

Apple has been ramping up production in India with the aim of making around 25% of global iPhones in the country in the next few years, as it looks to reduce reliance on China, where around 90% of its flagship smartphone is currently assembled.

“I said to Tim, I said, ‘Tim look, we treated you really good, we put up with all the plants that you build in China for years, now you got build us. We’re not interested in you building in India, India can take care of themselves ... we want you to build here’,” Trump said.

The U.S. president added that Apple is going to be “upping” its production in the United States, without disclosing further details.

CNBC has reached out to Apple.

Trump made the comments about the U.S. tech giant while discussing Washington’s broader trade relations with India.

Trump said India is “one of the highest tariff nations in the world,” adding the country has offered a deal to the U.S. where “they are willing to literally charge us no tariff.”

Under the White House’s trade protectionist policies revealed in April, Trump has imposed a so-called “reciprocal tariff” of 26% on Indian goods, which has been temporarily lowered until July.

Apple’s main assembly partner in India, Foxconn, received approval from the Indian government on Monday to build a semiconductor plant in the country in a joint venture with HCL Group.

Apple has spent decades building up its supply chain in China, but has looked to other countries like Vietnam and India to expand its production capacity.

But experts generally agree that moving production of the iPhone to the U.S. would be highly unlikely because of the final price of the end product. Varying estimates put the cost of an iPhone between $1,500 to $3,500, if it were made in the U.S.

Apple currently makes very few products in the U.S. Currently, the Cupertino giant produces the Mac Pro in the U.S. In February, it announced it would launch a manufacturing facility in Texas to produce servers for Apple Intelligence, its AI system.