According to a report by Counterpoint Research, India has emerged as the world’s second-largest manufacturing hub for mobile phones, largely attributed to significant investments from original equipment manufacturers (OEMs), original design manufacturers (ODMs), and companies specialising in mobile components and parts.
This development is a significant boost to India’s “Make in India” initiative, with recent data from government and industry sources revealing mobile phone exports worth $5.5 billion during April-August 2023. This marks a substantial increase compared to the $3 billion recorded during the same period in last year.
The study estimates that India is poised to export approximately 22 per cent of its total assembled mobile phones in 2023. While India’s ascent in mobile manufacturing is notable, China’s manufacturing and supply chain will continue to maintain its pivotal role in the longer term, as per Counterpoint. Furthermore, India is on track to surpass Rs 1.2 trillion in mobile phone exports in the current fiscal year, with Apple taking the lead, commanding more than 50 per cent of the market share in FY24.
However, the report also notes a six per cent year-on-year decline in smartphone shipments from ODMs and independent design houses during the first half of this year. This decline is primarily attributed to the weaker performance of companies such as Samsung, Xiaomi, and Lenovo Group. Nevertheless, the rise of Vivo, Honor, and Transsion Group has partially offset this decline.