On Tuesday, Prime Minister Narendra Modi announced that India has successfully transformed into a key player in smartphone manufacturing, now recognized worldwide as a “mobile exporter.” Speaking at the 8th edition of the India Mobile Congress 2024 in New Delhi, Modi highlighted the remarkable growth from just two mobile manufacturing units in 2014 to over 200 today. India, once an importer of mobile phones, now produces six times more phones domestically.
Reflecting on his decade-old vision for a digital-first India, Modi pointed out that achieving lower phone costs was only possible through local manufacturing. The government’s “Make in India” initiative, launched ten years ago, has introduced numerous incentives, including the Production Linked Incentive Scheme and tariff reliefs, to encourage businesses to shift production to India amid rising geopolitical tensions with China.
India’s potential in smartphone manufacturing is evident, with 14% of iPhones already produced in the country, making it the largest mobile phone producer outside of China. Apple aims to increase this figure to 24-25% by 2027-2028. Google, alongside other tech giants, also manufactures its premium Pixel smartphones in India, solidifying the country’s growing importance in the tech world.
Modi further revealed India’s goal of producing completely Made-in-India smartphones, from chips to finished products, and stressed that substantial investments are being made to build a robust semiconductor ecosystem. Though the semiconductor industry in India is still developing, with Taiwan dominating 44% of the global market, the Indian government plans to boost the electronics sector from $155 billion to $500 billion by 2030. However, experts suggest India may benefit from collaborating with the US to overcome technical challenges in semiconductor manufacturing.
