According to a joint statement released, PC maker HP India is scheduled to sign a deal with Padget Electronics, a subsidiary of electronics contract manufacturer Dixon Technologies, to manufacture the company's laptops, desktops, and all-in-one PCs in India under the PLI 2.0 program.

Production will happen at Padget Electronics' new factory, which is being built in Chennai.

"Padget Electronics Private Limited intends to enter into an MOU with HP India Sales Private Limited to carry out manufacturing of notebooks, desktops, and all-in-one PCs under PLI 2.0, subject to signing of definitive agreements in due course," according to the statement.

"Through this partnership, we look forward to offering our customers in India an enhanced portfolio of domestically manufactured products that combine HP's cutting-edge technology with Dixon's manufacturing expertise," Dasgupta added.

Under the IT Hardware PLI (Production Linked Incentive) 2.0 Scheme, Padget is establishing a new plant in Oragadam to produce laptops, desktops, and all-in-one gadgets.

The factory, which occupies 3,00,000 square feet, is expected to generate 1,500 direct employment. It will be able to produce two million units a year at maximum capacity, according to the release.

Atul B. Lall, vice chairman and managing director of Dixon Technologies, stated that HP is a major participant in the industry, renowned for its technologically cutting-edge products, and has a global presence in more than 170 countries.

"We are sure that with HP's vision and rigorous industry-leading processes, combined with our expertise in manufacturing, we will be able to bring a range of HP personal systems to Indian customers," he added.