China Companies Achieve Success in Exporting ‘Made in India’ Products
Chinese smartphone and electronics manufacturers are making significant strides in exporting products from India to regions such as West Asia, Africa, and the United States. This shift comes as a result of increased government support and the growth of local production capabilities. Traditionally reliant on China and Vietnam for supply, these companies are now focusing on expanding their international market presence through local partnerships and manufacturing initiatives.
Strategic Shift in Manufacturing
The recent developments mark a notable change for Chinese brands that have primarily focused on domestic sales in India. Following the border disputes in 2020, the Indian government has implemented stricter oversight of Chinese businesses, prompting these companies to adapt their strategies. Industry insiders report that Chinese firms are being encouraged to establish local manufacturing operations in collaboration with Indian partners. This includes creating distribution networks within India, pursuing export opportunities, and appointing Indian nationals to senior management positions.
Oppo Mobiles India has already reported foreign exchange earnings of ₹272 crore in the fiscal year 2024 through exports, while Realme Mobile Telecommunications (India) generated ₹114 crore. These figures reflect the growing trend of Chinese companies leveraging India’s manufacturing capabilities to tap into international markets. Notably, Hisense Group plans to begin exporting locally manufactured products to West Asia and Africa in early 2024, further underscoring this strategic pivot.
Expansion of Export Operations
Several Chinese companies are ramping up their export operations from India. Lenovo Group is set to export servers and laptops, while its subsidiary Motorola is already sending devices to the United States. Dixon Technologies, which manufactures Motorola smartphones, is increasing its production capacity by 50% to meet rising export demands. The company also produces smartphones for Transsion Holdings, which has begun exporting to African markets.
Moreover, Haier, a leading consumer electronics manufacturer, is exploring export possibilities. Various smartphone manufacturers, including Oppo, Vivo, Realme, OnePlus, and Xiaomi, are collaborating with Indian enterprises to initiate exports. However, filings for Xiaomi, Midea, and OnePlus in the fiscal year 2024 did not indicate any foreign exchange earnings from exports, highlighting the varying levels of success among these companies.
Government Support and PLI Scheme
The Indian government’s production-linked incentive (PLI) scheme plays a crucial role in supporting export initiatives. While many Chinese brands do not directly participate in the PLI, their Indian manufacturing partners, such as Dixon Technologies, do. A senior executive from a third-party manufacturing firm noted that the government has consistently encouraged Chinese companies to export from India, suggesting that more brands are likely to follow suit.
This push for exports is particularly important in light of rising geopolitical tensions and potential tariff implications from the United States. Industry officials indicate that Chinese firms are considering exporting phones and electronic devices to the U.S. from India, contingent on the outcomes of trade discussions between the U.S., India, and China. Currently, Dixon facilities are manufacturing Motorola smartphones for Lenovo’s exports to the U.S., showcasing the growing integration of Indian manufacturing in global supply chains.
Growth in India’s Export Market
India’s smartphone exports have seen remarkable growth, becoming the country’s primary export commodity. In the fiscal year 2025, smartphone shipments increased by 55% year-on-year, reaching $24.14 billion. Apple led the charge with iPhone exports exceeding $17.4 billion, while Samsung contributed significantly to the overall figures. This growth reflects the increasing importance of the Indian manufacturing sector in the global electronics market and highlights the potential for further expansion as more companies look to India as a viable manufacturing hub.
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