Wingtech Technology accelerates its layout in India to meet the needs of Chinese companies

WINGTECH MOBILE COMMUNICATIONS (INDIA) PRIVATE LIMITED officially opened for business, and the customer project was successfully put into production on the same day. WINGTECH India products are made in India, which is an important strategy for WINGTECH Technology to accelerate its internationalization.

Not long ago, Wingtech Technology announced that in order to further expand overseas markets and meet the needs of the company's strategic development, the company plans to increase the capital of its subsidiary India Wingtech by RMB 135 million. At the same time, the company's wholly-owned subsidiary Hong Kong Wingtech plans to establish a joint venture company Indonesia Wingtech with a local company in the Republic of Indonesia, with a registered capital of RMB 24 million, of which Hong Kong Wingtech will contribute 60% and the local Indonesian company will contribute 40%.

Today, Wingtech India has officially opened its doors. The first phase plans to form a monthly production capacity of 3 million mobile phone complete machines and casings, becoming an important base for Wingtech to expand overseas markets and achieve global layout. Starting from India, Wingtech Technology's internationalization process will be accelerated.

As we all know, as an emerging market country with a population of 1.3 billion, India's current mobile phone market is like China a few years ago. The coverage rate of smartphones is very low. At the same time, the consumption level determines that they are more inclined to cost-effective mid- and low-end mobile phones. Therefore, the current potential of smartphones in the Indian market is very large.

In the annual sales volume of mobile phones in India announced in 2018, Xiaomi ranked first with a proportion of 28%, followed by Samsung with a share of 24%, and then vivo and OPPO ranked third and fourth with 10% and 8% respectively. Finally, the fifth place was the Indian local brand Micromax with a share of 5%. Judging from this data, domestic mobile phone brands can almost be said to occupy half of the Indian mobile phone market, most of which are customers of Wingtech Technology.

This also means that Wingtech Technology's factory building in India meets the strategic layout needs of China's first-tier mobile phone brands in the Indian market, and can also improve Wingtech Technology's operating performance more efficiently and economically.

It is reported that the Wingtech factory in India is not just a simple SMD production line, but covers the entire industrial chain of SMD, assembly, and mold spraying. In the future, Wingtech Technology will also open factories in Indonesia, Brazil and other places to increase production lines and truly realize global layout and production.

It is worth mentioning that as the leader in the mobile phone ODM industry, in order to further expand the company's profit margins, internationalization is the only way for Wingtech's global development. Faced with an increasingly complex international environment, only internationalization and localization can minimize the risks brought about by trade wars and regional imbalance policies.

Of course, if the Sino-US trade war breaks out, Wingtech Technology can also solve this problem, because Wingtech Technology has achieved mass production of the entire industry chain in India and fully solved the problem of localization. Therefore, the Sino-US trade war has little impact on Wingtech Technology, because Wingtech Technology has already achieved international layout.