Growing Clout Of Domestic Smartphone Manufacturers Positions India As Global Electronics Production Hub

India’s smartphone manufacturing ecosystem is witnessing a steady shift, with domestic companies now accounting for a growing share of production.

One in every four smartphones made in the country is now produced by homegrown manufacturers, according to a report by The Times of India.

 The significant shift reflects the rising capabilities of local firms. The growth has been largely driven by a sharp increase in exports, which continue to power the expansion of India’s electronics manufacturing sector.

As global smartphone brands increasingly diversify their supply chains, India has emerged as a key production hub, with local contract manufacturers playing a crucial role.

Companies such as Dixon Technologies and other domestic players have scaled up operations by manufacturing devices for leading global brands.

This trend highlights a broader transition where international companies are relying more on Indian partners for assembly and production.

Exports have become a major driver of this momentum. A significant portion of smartphones produced in India is now shipped overseas, supported by favourable policy measures and improving manufacturing infrastructure.

The shipments of ‘Made in India’ smartphones grew 8 per cent (on-year) in 2025, driven by a 28 per cent surge in exports and a 1 per cent growth in domestic sell-in.

Government initiatives, particularly the Production Linked Incentive (PLI) scheme, have played a key role in accelerating this shift.

The scheme has incentivised both global and domestic players to expand production capacity and invest in the country.

The rising share of local manufacturers also signals a structural change in India’s electronics ecosystem.

Domestic firms are not only increasing volumes but also improving technological capabilities and operational efficiencies.

This evolution strengthens India’s position in the global supply chain, as the country moves beyond being just a consumption market to becoming a major manufacturing and export hub for smartphones.

At the same time, the continued growth in exports and localisation efforts is expected to further boost domestic value addition, making the sector more resilient and competitive in the long run.