The chairman of Taiwan's largest technology company, Pegatron Corporation, T H Tung, revealed that his company is aiming to increase the capacity of its current manufacturing facility in Tamil Nadu during a meeting with Chief Minister M K Stalin.

With an investment of Rs 1,100 crore, the firm, a significant supplier to Apple Inc., entered India in 2021 through the production linked incentive (PLI) plan by establishing its factory at Mahindra World City in Singaperumalkoil, 40 kilometres from Chennai.

The factory only started operating in September of last year and, like its Foxconn counterpart in Taiwan, assembles the flagship iPhone 13 and iPhone 14.

Pegatron's interest in expansion is reminiscent of Apple's earlier declaration that it is looking to shift a major portion of its operations out of China to countries like India. At the time of inaugurating the Singaperumalkoil plant, Stalin had expressed hope that Pegatron would expand its investment further.

"Pegatron is planning to invest more in India. We have been talking to them to ensure that they further invest in Tamil Nadu by expanding their Chennai facility. Today's meeting has set the tone for further talks between the two sides. We can expect forward movement in the coming months," a person aware of the developments was quoted as saying by Deccan Herald. 

He added that the space in the existing site is suffice for expansion and no further land acquisition will be required for the expansion.