HP Partners with Dixon for Local PC Production in India Starting May

HP India is preparing to considerably increase its production volumes by starting local manufacturing of laptops, desktop PCs, and all-in-one systems in India this May. This move is being implemented through a collaboration with Dixon Technologies, as per a report.

Ipsita Dasgupta, Senior Vice-President & Managing Director of HP India, stated that this initiative is projected to nearly double the company's manufacturing compared to the previous year. As quoted in the report, Dasgupta highlighted the ambition, saying, "The annual target for HP is almost twice what we achieved last year, and that was without PLI." HP is among the 27 companies approved under the ₹17,000-crore Production Linked Incentive (PLI) scheme for IT hardware introduced in 2023.

Discussing issues over India's new import management system for electronic products, recently mentioned in a US trade report, Dasgupta was optimistic about HP's Indian operations.

On India's contribution to HP's China+1 initiative, Dasgupta explained that the company's vision for India is before existing global trade patterns. She stressed that HP's business strategy is consistent with India's aspiration to be a major player in the global supply chain, further stating that HP India aims to grow its India-based production share every year. While HP is geared up to increase local value addition, Dasgupta would not confirm if the company would seek approval under the recently announced ₹23,000 crores component-based PLI scheme.

On the business performance front, Dasgupta reported strong growth in commercial and consumer segments. She said that large businesses, IT/ITeS companies, and India Inc. are major drivers of commercial demand, while MSMEs, including those in non-metro locations, are increasingly driving HP's volumes.

To better serve small and medium-sized enterprises, HP has introduced 'HP Connects' — customer experience centers located in MSME clusters. These centers offer IT infrastructure and advisory services, frequently acting as outsourced CIOs for companies without internal technology groups.