• Sunday, Nov 28, 2021
  • Last Update : 08:17 pm

Xiaomi phones now made in Bangladesh

  • Published at 08:00 pm October 21st, 2021
Xiaomi Bangladesh launch
Syed Zakir Hossain/Dhaka Tribune

'We believe this partnership will provide new opportunities to youth of the country and develop an electronics-manufacturing ecosystem of global standards'

To strengthen the government's vision of a Digital Bangladesh, Chinese smartphone giant Xiaomi will now manufacture its devices locally at its factory in Gazipur.

Not only will this enable more foreign direct investment (FDI) into Bangladesh, but the smartphone maker's local factory will also offer smartphones at a more competitive price, as well as offer knowledge transfer, job creation and increased smartphone production capacity.

Xiaomi revealed its "Made in Bangladesh" plan at a special event on Thursday in the capital, where Salman F Rahman, adviser to the prime minister on private industry and investment, and Zunaid Ahmed Palak, state minister for ICT Division, were present.

ICT Division State Minister Zunaid Ahmed Palak said that due to Xiaomi's new factory in Gazipur, Bangladeshis will get world-class devices from the brand at a lower price, as they will be manufactured locally.

Also Read - Xiaomi set to launch factory in Bangladesh

Xiaomi previously had to pay international taxes, which they don’t have to pay anymore, Xiaomi sources confirmed to Dhaka Tribune.

“Manufacturing smartphones locally is a significant step towards incorporating Xiaomi into the fabric of Bangladesh in the years to come. We will be able to contribute to generating more jobs in Bangladesh and play a role in enhancing the quality of life of the people of Bangladesh through competitive pricing,”  Ziauddin Chowdhury, country manager, Xiaomi Bangladesh told Dhaka Tribune.

According to Xiaomi, the plant will be producing approximately 3 million smartphones per year through approximately 1,000 workers, who will be employed in the plant in the initial phase as well as knowledge transfer to develop local skilled workers.

“These new generation companies and entrepreneurs will be key to the success of Bangladesh. We have great faith in young leaders and young companies like Xiaomi. We are happy to partner with Xiaomi as they set up their first manufacturing unit in Bangladesh, as part of the Digital Bangladesh initiative. We believe this partnership will provide new opportunities to youth of the country and develop an electronics-manufacturing ecosystem of global standards. We welcome Xiaomi to sunrise Bangladesh,” according to Salman Fazlur Rahman, adviser to the prime minister on private industry and investment.

Salman F Rahman addresses an event to launch Xiaomi's new factory in Bangladesh on Thursday, October 21, 2021 Syed Zakir Hossain/Dhaka Tribune Speaking to DT, Ashfaq Zaman, a MI fan and Xiaomi smartphone user, said that it was great news.

"Soon, we can all expect to have our favorite Xiaomi handsets at a cheaper cost with the same quality. Most importantly it will be branded as 'Made in Bangladesh,'" he added.

The plant is located in Gazipur District, near the Bypass Road, Vogra. The factory is situated in a standalone 4-storied building with a total area of around 55,000 sqft.

Mobile handset manufacturing began in Bangladesh in 2017 when Walton started producing electronic products locally, with global giants Samsung, Symphony, Tecno, and other brands  such as Infinix, iTel later joining in.

For example, Tecno through Transsion Bangladesh Limited produces 800,000 units for three different brands with 1,000+ workers.

Post and Telecommunications Minister Mostafa Jabbar recently said that nearly 82% of the smartphones in demand are manufactured in the country.

The aforementioned brands account for 55% of the smartphone and feature phone demand in the country. The government has so far issued licenses to 13 companies to start production in the country while Nokia is also ready to set up factories in Bangladesh.

In 2020, nearly 32 million units were sold in the country among which nine million were smartphones.

According to Bangladesh Mobile Phone Importers Association (BMPI) Joint Secretary Mohammad Mesbah Uddin, during the first half of 2021, some 7.5 million cell phones were sold among which two million were smartphones.

Experts predict 32 million units to be sold this year with a target of selling 12 million units of smartphones.

Xiaomi has collaborated with DBG technology BD Ltd to manufacture its smartphones in Bangladesh. DBG is a global EMS company, who has been operating manufacturing business around the world (China, Vietnam, India etc.) for several renowned brands of consumer electronics. They are publicly listed companies on the Hong Kong Stock Exchange.

The first phone of the company to be assembled in Bangladesh belongs to Redmi sub-brand, which is expected to be available in the market from 1st week of November 2021.  Subsequently POCO and Xiaomi series will be made in the country. 

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