Padget opens new manufacturing facility with Rs 256 cr investment, starts production of Xiaomi phones, ET Telecom

NEW DELHI: Dixon Technologies’ subsidiary Padget Electronics has opened a new smartphone manufacturing facility in Noida, Uttar Pradesh, having an annual capacity of 25 million units, at an investment of Rs 256 crore.

Dixon said in a statement that Padget has commenced smartphone manufacturing for Xiaomi in Q3 2023. “The latest manufacturing facility by Padget Electronics, which is the smartphone manufacturing subsidiary of Dixon Technologies, has commenced the production of smartphones for global technology giant, Xiaomi India in Q3 2023.”

“We are delighted about the new state of the art manufacturing facility, quality processes and efficient production lines. It is a momentous step towards our commitment to boosting the local smartphone manufacturing system in India. We believe that this association will leverage our excellence and superior execution and Xiaomi’s expertise & leadership in the Indian business ecosystem,” said Sunil Vachani, Executive Chairman at Dixon Technologies.

“This is a significant step forward in our journey of boosting the local smartphone manufacturing ecosystem in India and building a strong, world-class technology ecosystem. We have a 5-year long association with Xiaomi India, and are excited to start this new chapter that exemplifies synergy between our two organizations,” said Atul Lall, Vice Chairman & Managing Director, Dixon Technologies.

Xiaomi India in May had partnered with contract manufacturer Dixon to make smartphones for the domestic market and for exports. The companies, then, however, had not disclosed specifics of the partnership.

The companies had said they would also “explore enhancing component ecosystem in India through the wholly owned subsidiaries of Dixon”.

Earlier this year, Xiaomi also signed up Optiemus Electronics to manufacture Bluetooth audio products in the country.

According to Counterpoint Research, Xiaomi ranked second in the India smartphone market with a volume share of 16.6% in Q3 2023, with its performance driven by strong demand for the Redmi 12 series and offline expansion. The brand is “effectively capitalising” on the opportunity to provide 5G technology in the budget segment, the research firm said.