Foxconn Considers Investment in Hyderabad’s New City

Foxconn, the well-known Taiwanese electronics manufacturer, is eyeing investment options in Hyderabad, particularly in a new city being proposed on the outskirts. The news came to light during a meeting between Chief Minister A. Revanth Reddy and Foxconn’s chairman, Yang Liu, in Delhi.

During this meeting, CM Reddy pitched the idea of this ambitious Fourth City project and offered Foxconn various support, including incentives and approval processes needed to set up factories there. Mr. Liu reportedly showed great interest in the vision for the Fourth City and indicated plans to visit Hyderabad soon.

Reddy emphasized the project’s focus on diverse growth across sectors such as education, medicine, sports, and electronics. He also mentioned that the Young India Skill Development University would be located in the Fourth City. This outreach to Foxconn followed a recent trip to the U.S. and South Korea led by Reddy.

Mr. Liu expressed admiration for Reddy’s plans and his pro-business approach. He expressed eagerness to explore investment opportunities and confirmed that a team from Foxconn would be visiting Hyderabad to assess these prospects.

However, it remains unclear what the current status is for a significant $550 million manufacturing project Foxconn previously announced in Telangana. Construction has been underway for a facility in Kongara Kalan, in the Rangareddy district, which is near Hyderabad. This facility is part of a larger plan where Foxconn aims to invest substantially over the coming years, intending to create thousands of jobs.

Former minister K. T. Rama Rao recently mentioned that the first phase of Foxconn’s factories is ready for inauguration, and approvals for the second phase are reportedly being sought. The entire initiative is expected to offer considerable employment opportunities.

The Kongara Kalan facility, which represents a fixed capital investment of around ₹4,833 crore, is anticipated to roll out its first products by the end of this year, with trial production set to begin in October.