Chinese smartphone maker OnePlus has partnered with Foxconn, the world's largest contract manufacturer, to manufacture smartphones in India, joining a handful of foreign companies who have announced plans to make electronic goods in the country.
Foxconn will manufacture handsets for OnePlus at its facility in Sri City, located in southern part of Andhra Pradesh.
However, the company did not disclose any details about the devices to be manufactured in India.
"Producing smartphones in India is one of the most important decisions that we have made so far at OnePlus, and we are thankful to the Government of Andhra Pradesh and Foxconn for helping us make this happen," The Economic Times quoted Pete Lau, founder & CEO of OnePlus, as saying.
"India being one of our biggest markets worldwide, we are committed to a long term sustainable growth path," he added.
The Shenzen-based company is now among a group of companies who have announced plans to produce smartphones locally within a year of their launch in India.
In April, Chinese handset maker Xiaomi had also announced to set up manufacturing units in India as it saw robust demand for its phones in the world's third largest smartphone market. Xiaomi tied up with Foxconn in June to make about 10,000 phones per day.
"Local production will not only make our operations more efficient in terms of cost and working capital requirements but also help us in making our products available for sale much faster than ever before," Vikas Agarwal, India general manager, OnePlus said.
The company's recent launch, OnePlus 2, has received over five million registrations globally. OnePlus said that it is facing "production and supply side constraints to meet demand."
"Local production will help to address this issue and better cater to the fast growing demands for OnePlus products in India," Agarwal added.