Epson’s Inkjet Printer Factory in India: A Strategic Move for the Future

India’s Rise in the Global Manufacturing Landscape

India has consistently been one of the fastest-growing large economies over the past decade, and its momentum is expected to continue. As a result, global companies increasingly rely on India not just as a market but also as a key contributor to their supply chains across various sectors—including IT hardware and printers.

This shift is reflected in how multinational corporations (MNCs) are prioritising their Indian operations. For many, India has become a distinct and high-priority market, influencing decisions at corporate headquarters and shaping global strategy.

Epson’s Journey in India

Epson has had a strong presence in India since 2000 and operates across a wide range of product segments. While best known as the market leader in inkjet printing, Epson also provides solutions in textile and label printing, projectors, scanners, and industrial robotics.

India is not just a high-growth market for Epson—it is becoming a strategic manufacturing and R&D hub, especially in the industrial printer space.

The Geopolitical Context: “China Plus One” and Japan’s Push

Epson’s latest investment—a high-capacity inkjet ink-tank printer factory in Sriperumbudur, near Chennai—comes at a time when geopolitical dynamics are reshaping global supply chains.

Post-COVID, the “China Plus One” strategy has gained momentum, with Japanese firms actively seeking alternatives to reduce dependency on China. India, with its large domestic market, cost advantages, and growing skilled workforce, is a natural destination. The Japanese government is actively encouraging this transition by offering incentives and financial support to companies expanding into India and Southeast Asia.

As a result, Japanese Foreign Direct Investment (FDI) in India is rising sharply—across manufacturing, startups, and Global Capability Centres (GCCs). The friendly Indo-Japan relationship and India’s stable policy environment further enhance its attractiveness.

Aligning with India’s Policy Vision

The new Epson inkjet factory is also aligned with India’s policy thrust on domestic manufacturing. Products sold on the Government eMarketplace (GeM) often need to be “Make in India” compliant, and this facility will allow Epson to participate more competitively in public sector procurement.

Furthermore, the Indian government is expected to introduce a Production Linked Incentive (PLI) scheme for IT hardware, including printers—especially when products are exported from India. Epson’s local manufacturing presence could position it to benefit from these emerging incentives.

More Than Just Printers: The Potential for Broader Expansion

This factory marks what is likely just the first phase of Epson’s long-term India strategy. It opens the door for future investments in manufacturing printer consumables, inks, and potentially other product lines.

Meanwhile, competitors have already been stepping up their India operations:

HP has been manufacturing in Uttarakhand since 2006 to benefit from tax incentives and has recently partnered with Dixon Technologies in Tamil Nadu to manufacture laptops, PCs, and monitors. It also collaborates with Google and Flex to produce Chromebooks in India.
Canon has set up a software development center in New Delhi to support global R&D, marking its shift toward deepening technical capabilities in India.
Epson, to remain competitive, will likely expand further—potentially establishing a research & development center, a software development facility, or even a Global Capability Centre (GCC) in India.

Final Thoughts

Epson’s decision to manufacture inkjet ink-tank printers in India is not just a response to current market conditions—it’s a strategic move for the future. As global supply chains reconfigure, India stands out as a vital hub. Epson’s investment not only reflects confidence in the Indian economy but also signals its intent to become a much larger player in the region, both in manufacturing and innovation.

The Chennai facility is just the beginning—and we may soon see Epson deepen its presence across production, R&D, and services in India.

What are your thoughts about Dhruv’s opinion, “How Anti-Dumping Duties on Chinese Black Toner Cartridges Would Harm India.”

Dhruv Mahajan is RT Imaging World’s Regional Partner for India. Based in New Delhi, he has been an international business development manager responsible for the past twelve years developing the aftermarket imaging supplies business throughout the Gulf and Southeast Asia regions.

“I know all the key players in this market and I know they are looking for components as well as finished goods for laser, inkjet, copier, wide-format as well as new printer options. There are many medium-sized businesses I know that are also looking to expand their businesses and I am confident of providing support to them all.”Mahajan is the International Business Development Manager for Ninestar responsible for the Gulf and Southeast Asia regions.

For more information, please contact him at <dhruvm@ggimage.com>

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