Apple has chosen India instead of Viet Nam for its US$1 billion Asia Pacific-focused research and development (R&D) centre. — Photo

Apple has chosen India instead of Viet Nam for its US$1 billion Asia Pacific-focused research and development (R&D) centre.

This was stated by online newspaper VietNamNet, which quoted associate director of JLL Vietnam Dang Van Quang.

The US tech giant reportedly last year began seeking a location in the Asia Pacific region to build a plant to boost iPhone sales in Southeast Asia. With hi-tech competitive edge, Viet Nam and India were the two countries shortlisted.

India was chosen eventually thanks to better benefits and more developed infrastructure, Quang said at a press meet on Thursday.

Apple has requested incentives it wants from the Indian government, including a 15-year tax exemption on imported components. The agreement between the two sides has not yet been disclosed.

Foreign direct investment commitments in Viet Nam jumped 77.6 per cent year-on-year to $7.7 billion in the first quarter of this year. Real estate ranked second, attracting $344 million.

Increased foreign investment in manufacturing and real estate will catalyse more investment in industrial parks, JLL said.

Occupancy rate at industrial parks is expected to increase sharply as foreign investors shift production bases away from China, the real estate service company noted. — VNS