Will India Emerge as a Dominant Force in Global Smartphone Manufacturing by 2025?
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Synopsis
India is on track to become a leading player in global smartphone manufacturing by 2025, with a projected 20% market share driven by major brands like Apple and Samsung. Despite an overall decline in global output, India is experiencing significant growth, showcasing its potential as a manufacturing hub.
Key Takeaways
- India's smartphone manufacturing output is projected to grow by double digits by 2025.
- The country is expected to capture a 20% share of global output.
- Major brands like Apple and Samsung are driving demand.
- The decline in global output presents an opportunity for India.
- Government initiatives like ECMS are boosting local manufacturing.
New Delhi, June 10 (NationPress) With a decline in global smartphone manufacturing output, India is poised to emerge as a significant victor in 2025. According to a recent report, the country’s output is expected to surge in double-digit percentages, achieving an unprecedented 20 percent share of the global market, driven by export demands from Apple and Samsung.
The global smartphone manufacturing output is projected to decline by 1 percent year-on-year in 2025, influenced by tariff effects and an overall industry slowdown, following a 4 percent increase in 2024, as reported by Counterpoint Research’s latest global smartphone manufacturing allocation tracker.
In 2024, China, India, and Vietnam accounted for over 90 percent of global manufacturing output, with India leading in growth.
For 2025, manufacturing outputs across various countries are anticipated to exhibit mixed results. China is expected to face tariff impacts that will lead to declining output and a forecast of domestic underperformance.
The shift in global smartphone manufacturing has accelerated post-Covid-19, but tariffs have negatively affected every segment of the industry—from upstream component suppliers to downstream importers, distributors, brands, and manufacturers.
“As a result, brands have no alternative but to shift production out of China and increase their manufacturing capacity in other nations,” commented Counterpoint Research Senior Analyst, Ivan Lam.
The primary beneficiaries of this shift are India, which shows substantial growth potential, and Vietnam, known for its proximity to China and a well-established contract manufacturing and export sector for consumer electronics, according to Lam.
Highlighting India’s recent manufacturing expansion, Counterpoint Research Senior Analyst, Prachir Singh, remarked, “With traditional global EMS leaders investing in India and local EMS actively engaging, the country’s local manufacturing capabilities have significantly advanced and can now accommodate higher production demands—after nearly a decade of improvements.”
Additionally, India’s overall manufacturing ecosystem is consistently evolving, with local manufacturing witnessing ongoing enhancements in yield and complexity.
“To further enhance the component ecosystem, the government recently introduced the Electronics Components Manufacturing Scheme (ECMS), encouraging companies to invest and establish operations in the country,” Singh added.
Point of View
It's clear that India's robust growth in smartphone manufacturing is not just a fleeting trend but a testament to its evolving capabilities. With significant investments pouring in and government initiatives supporting the sector, India is well-positioned to emerge as a manufacturing powerhouse on the global stage.
NationPress
11/06/2025
Frequently Asked Questions
What factors are driving India's growth in smartphone manufacturing?
India's growth is largely driven by strong export demand from major companies like Apple and Samsung, along with significant investments in local manufacturing capabilities and government support initiatives.
How does the decline in global smartphone output affect India?
While global smartphone manufacturing is expected to decline, India is uniquely positioned to grow its market share due to its competitive advantages and increasing demand for locally produced devices.
What is the Electronics Components Manufacturing Scheme (ECMS)?
The ECMS is a government initiative aimed at incentivizing companies to invest in and develop the local manufacturing ecosystem for electronics components in India.
