In M&M's 77th annual general meeting, Anand Mahindra addressed the shareholders virtually and pointed out that the current geopolitical tensions with China are driving numerous manufacturers to shift their focus towards India.
He emphasized that India has the potential to become the new 'factory to the world.' Anand Mahindra also highlighted that several prominent companies have already moved their production operations to India.
Speaking at M&M's 77th annual general meeting in a virtual setting, Mahindra emphasized that the ongoing geopolitical tensions with China have resulted in a notable shift of many manufacturers towards India.
He further highlighted that renowned companies like Apple, Samsung, Boeing, and Toshiba have recently relocated a substantial portion of their manufacturing operations to India. According to the 68-year-old industrialist, India is on the brink of becoming a strong contender to replace China as the primary 'factory to the world.'
In FY23, Apple produced iPhones worth $7 billion from its factory in India, thereby reducing its dependence on China. The company had previously set a target to manufacture 25% of all iPhones in India.
Tesla, the world's most valuable car company, is planning to establish a manufacturing presence in India, accompanied by its supply chain network. As per reports, India will witness the introduction of the world's most affordable Tesla model, expected to be priced at approximately Rs 20 lakh.
According to Mahindra, India's advantageous position has been influenced by concerns about China's ambitions and post-Covid supply chain disruptions. India is well-prepared to capitalize on these factors, with its focus on infrastructure yielding positive results.
Additionally, Mahindra pointed out that while numerous countries are facing the prospect of recession, the Indian economy is experiencing growth at a rate of 7%.
He further noted that the current global scenario has led to heightened alarm over China's political ambitions, and India is being perceived as a natural buffer and counterbalance to China. As a result, many countries are actively seeking to establish favorable relationships with India.
