Samsung to Invest Rs 1,000 Crore in Tamil Nadu Plant, Creating 100 New Jobs
Samsung Electronics is set to make a significant investment of Rs 1,000 crore (approximately $117 million) in its manufacturing facility located in Chennai, Tamil Nadu, according to a recent Reuters report. This major move reflects the global tech giant’s continued commitment to India, one of its fastest-growing markets, even amidst ongoing labour-related challenges at the plant. The announcement was confirmed by Tamil Nadu’s Industries Minister, Dr TRB Rajaa, who shared the development on social media platform X. He emphasized that Samsung’s fresh investment underscores the company’s trust in the capabilities and dedication of Tamil Nadu’s workforce. The investment is also expected to generate 100 new employment opportunities at the facility, further contributing to the local economy.
Samsung’s Chennai plant, which currently employs over 2,000 workers, has been under intense public and media scrutiny in recent months due to recurring labour issues. In February 2025, the facility saw a sit-in protest following the suspension of several employees, reflecting deep-seated unrest among the workforce. This incident followed a more prolonged and impactful five-week strike in September 2023, where hundreds of workers demanded higher wages and official recognition of their union. That strike only ended after Samsung agreed to consider the workers’ demands, although specific outcomes of those negotiations remain unclear.
Despite these efforts, tensions continue to simmer. Workers’ union representatives have accused Samsung of trying to dismantle the union through indirect means, while the company has firmly denied these allegations, stating that it complies fully with all applicable labour laws and standards. The ongoing friction has raised questions about industrial relations at one of Samsung’s key production hubs in India.
The Chennai plant is a critical part of Samsung’s India operations. In the fiscal year 2022–23, it accounted for nearly one-fifth of the company’s Rs 1 lakh crore sales in the country, showcasing its strategic importance in Samsung’s supply chain and business model in India. Although the timeline for the Rs 1,000 crore investment has not yet been disclosed, the move is seen as a strong indicator of Samsung’s long-term vision for expansion and its confidence in the Indian market, particularly in the state of Tamil Nadu, which is rapidly emerging as a preferred destination for electronics manufacturing.
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