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V.Balasubramani
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Foxconn halts Tamil Nadu operations over Nokia shutdown
CHENNAI: Electronics component manufacturer Foxconn said it will suspend operations at its eight-year-old facility in Chennai as its only customer, the now mothballed plant of Nokia, stopped production in October. The shutdown of FIH India Pvt Ltd will be effective December 24, the company said in a news release.
Management representatives of the plant and union members are set to work on the final settlement formalities at a local labour office on Friday. Foxconn India's only client was the Finnish phone-maker Nokia, to which it has been supplying panels. "The winding down of Foxconn could just have not been prevented," a management member told ET.
Nokia's Chennai factory had been seized by tax authorities, accusing the company of evading tax, a charge it denies. Because of the tax dispute, the facility wasn't part of Nokia's now-completed deal to sell its telecom handset business to Microsoft.
The Foxconn plant was set up with the express intent to supply to Nokia and the facility cannot used for making smartphone components.
Source:
http://economictimes.indiatimes.com...ofinterest&utm_medium=text&utm_campaign=cppst
CHENNAI: Electronics component manufacturer Foxconn said it will suspend operations at its eight-year-old facility in Chennai as its only customer, the now mothballed plant of Nokia, stopped production in October. The shutdown of FIH India Pvt Ltd will be effective December 24, the company said in a news release.
Management representatives of the plant and union members are set to work on the final settlement formalities at a local labour office on Friday. Foxconn India's only client was the Finnish phone-maker Nokia, to which it has been supplying panels. "The winding down of Foxconn could just have not been prevented," a management member told ET.
Nokia's Chennai factory had been seized by tax authorities, accusing the company of evading tax, a charge it denies. Because of the tax dispute, the facility wasn't part of Nokia's now-completed deal to sell its telecom handset business to Microsoft.
The Foxconn plant was set up with the express intent to supply to Nokia and the facility cannot used for making smartphone components.
Source:
http://economictimes.indiatimes.com...ofinterest&utm_medium=text&utm_campaign=cppst