Top

Insights Tag: Made in India

India Mobile Phone Cumulative Production Crosses 2 Billion Units Under ‘Make in India’ Initiative

  • India’s mobile phone production grew at a CAGR of 23% during 2014-2022 to cross a cumulative 2bn units.
  • The huge internal demand, increasing digital literacy and government push are the major reasons for this growth.
  • India is now the second-biggest mobile phone-producing country.

New Delhi, Hong Kong, Seoul, London, Beijing, San Diego, Buenos Aires – August 14, 2023

‘Made in India’ mobile phone shipments crossed the 2-billion cumulative units mark under the ‘Make in India’ initiative during 2014-2022, registering a 23% CAGR, according to the latest research from Counterpoint’s Made in India service. The huge internal demand, increasing digital literacy and government push are the major reasons for this growth. As a result, India has become the second-biggest mobile phone-producing country. The Indian government has introduced schemes and initiatives such as the Phased Manufacturing Program (PMP), Make in India, Production Linked Incentive (PLI) and Atma-Nirbhar Bharat (Self-Reliant India) to increase local manufacturing and value addition.

Research Director Tarun Pathak said, “India has come a long way in mobile phone manufacturing. We have seen local manufacturing increase over the years to meet domestic demand. In 2022, more than 98% of shipments in the overall Indian market were ‘Made in India’, compared to just 19% when the current government took over in 2014. We have also seen increasing local value addition and supply chain development in the country. Local value addition in India currently stands at an average of more than 15%, compared to the low single digits eight years ago. Many companies are setting up units in the country for manufacturing mobile phones as well as components, leading to growing investments, increasing jobs and overall ecosystem development. The government now intends to capitalize on its various schemes to make India a ‘semiconductor manufacturing and export hub’. Going forward, we may see increasing production, especially for smartphones, as India gears to bridge the urban-rural digital divide and also become a mobile phone exporting powerhouse.”

‘Made in India’ Mobile Phones Shipment Share in Local Market, 2014-2022

india mobile phone production: ‘Made in India’ Mobile Phones Shipment Share in Local Market, 2014-2022
Source: Counterpoint’s ‘Made in India’ Research, 2022

On the Indian government initiatives, Senior Analyst Prachir Singh said, “The Indian government has launched and executed many schemes, which has resulted in a big jump in mobile phone manufacturing over the years. Under the ‘Make in India’ initiative, the government introduced the Phased Manufacturing Program and increased import duties on completely built units and some key components over the years to push local manufacturing and value addition. Under the Self-Reliant India scheme, the government introduced the Production Linked Incentive (PLI) scheme for 14 sectors, including mobile phone manufacturing. Due to all this, exports from India have increased. Going forward, the government is focused on making India a semiconductor hub. It has proposed a semiconductor PLI scheme and now is focusing more on infrastructure with a proposed investment of $1.4 trillion.”

Background

Counterpoint Technology Market Research is a global research firm specializing in products in the TMT (technology, media and telecom) industry. It services major technology and financial firms with a mix of monthly reports, customized projects and detailed analyses of the mobile and technology markets. Its key analysts are seasoned experts in the high-tech industry.

Analyst Contacts

Prachir Singh

Tarun Pathak

Follow Counterpoint Research

press(at)counterpointresearch.com

Related insights

Apple Contribution to ‘Made in India’ Smartphone Shipments Reached 25% in Value Terms in 2022

  • However, overall ‘Made in India’ smartphone shipments (units) declined 19% YoY in Q4 2022 and 3% YoY in 2022 due to softening of local demand.
  • The contribution of exports in ‘Made in India’ smartphone shipments reached the highest ever in 2022 both in volume (20%) and value terms (30%).
  • OPPO led the ‘Made in India’ smartphone shipments in 2022 with a 22% share, followed by Samsung.
  • Bharat FIH remained the top EMS player in terms of smartphone shipments in 2022. Dixon remained the top Indian EMS player.

 New Delhi, Hong Kong, Seoul, London, Beijing, San Diego, Buenos Aires – March 28, 2023

‘Made in India’ smartphone shipments declined 3% YoY in 2022 (January-December) , according to the latest research from Counterpoint’s Made in India service. The major factor behind this decline was the softening of consumer demand due to macroeconomic headwinds, especially in the second half of the year. The shipments fell 19% YoY in the last quarter due to local demand decline, particularly in the entry-tier and mid-tier segments. However, in terms of value, ‘Made in India’ smartphone shipments registered 34% YoY growth, riding on the local trend of increasing premiumization coupled with the increasing exports of premium smartphones, especially from Apple. ‘Made in India’ shipments from Apple grew 65% YoY by volume and 162% YoY by value, taking the brand’s value share to 25% in 2022, up from 12% in 2021.

Commenting on the local manufacturing ecosystem and Q4 2022 dynamics, Senior Research Analyst Prachir Singh said, “The high inventory, which has impacted the overall supply of smartphones, is now being felt at the manufacturing level. However, the premiumization trend is benefitting some of the manufacturers. Apple’s EMS (electronics manufacturing services) partners Foxconn Hon Hai and Wistron were the fastest growing manufacturers among the top 10 in Q4 2022. The growth was also fuelled by increasing exports from Apple. In terms of overall exports, a volume growth of 37% YoY was witnessed. Further, the contribution of exports in the total ‘Made in India’ smartphone shipments reached the highest ever in 2022 both in volume (20%) and value terms (30%). In Q4 2022, Samsung emerged as the top smartphone manufacturer, ahead of OPPO whose manufacturing shipments declined 31% YoY due to inventory issues in the entry-tier segment. Samsung’s manufacturing shipments declined only 7% YoY due to its stable export volume. Among the EMS players, Foxconn Hon Hai led the manufacturing shipments in Q4 2022, followed by Dixon. Dixon remained the top Indian EMS player in Q4 2022 as well. In the feature phone segment, Lava led the ‘Made in India’ shipments with almost 29% share.”

Singh added, “The contract manufacturing landscape is expanding with multiple EMS players increasing their output. The PLI scheme is one of the major factors driving this trend. Bharat FIH remained the top EMS player for smartphone manufacturing in 2022, followed by Dixon. Bharat FIH has been a key player in developing the overall smartphone manufacturing ecosystem as well as local talent, especially with the women workforce. Dixon, which is also increasing its footprint in smartphone manufacturing, was the leading Indian EMS in 2022. Padget, with the Motorola portfolio, emerged as one of the fastest growing EMS players in 2022, registering 70% YoY growth in terms of manufacturing shipments. Apple’s EMS partners Foxconn Hon Hai, Wistron and Pegatron were among the top 10 EMS players in India in 2022 in terms of volume. In terms of value, Foxconn Hon Hai and Wistron led the EMS landscape. Both of these manufacturers also received the PLI incentive in the recent disbursements. Among OEMs, OPPO led the ‘Made in India’ smartphone shipments in 2022 with a 22% share, followed by Samsung.”

Made in India Smartphone Shipment Share by Manufacturer 2022
Source: Counterpoint ‘Made in India’ Research, Q4 2022
Note: Figures may not add up to 100% due to rounding
India Smartphone Shipment Share by Manufacturer Q4 2022
Source: Counterpoint ‘Made in India’ Research, Q4 2022
Note: Figures may not add up to 100% due to rounding

On the overall 2022 performance and Indian government initiatives, Research Director Tarun Pathak said, “Overall, 2022 has been a good year in terms of manufacturing and localization in India. The increasing exports from Apple, Samsung and other OEMs drove the locally manufactured shipments in 2022 and somewhat offset the impact of the local demand decline. The recent disbursement of PLI incentives from the government as well as other initiatives, both at the central and state levels, has boosted the overall local manufacturing. We are now seeing multiple companies investing in India and expanding their manufacturing base. Also, the component and semiconductor ecosystem is witnessing investment growth due to the government’s continuous efforts. However, the government should focus on developing the overall ecosystem and play on India’s strengths like high local demand, developing local talent and improving overall infrastructure. We believe that the government will leverage India’s geopolitical strengths and focus on building favourable export and trade policies to make India a preferred destination for electronics manufacturing.”

Going forward, we may see the country reaping benefits of the PLI scheme thanks to increasing exports from Apple and Samsung. The government will focus on leveraging geopolitics and improving local infrastructure to attract more investment.

Notes

  • OPPO manufactures smartphones for OPPO, realme and OnePlus.
  • Bharat FIH manufactures smartphones for Xiaomi.
  • Dixon Technologies manufactures smartphones for Samsung.
  • Dixon Technologies’ share does not include Padget Electronics.

Background

Counterpoint Technology Market Research is a global research firm specializing in products in the TMT (technology, media and telecom) industry. It services major technology and financial firms with a mix of monthly reports, customized projects and detailed analyses of the mobile and technology markets. Its key analysts are seasoned experts in the high-tech industry.

Analyst Contacts

Prachir Singh

Tarun Pathak

Follow Counterpoint Research

Related Posts

  1. Global ODMs/IDHs’ Smartphone Shipments Fall 5% YoY as OEMs Cut Orders
  2. Global Smart Hardware Manufacturing Diversification Going Steady and Strong
  3. India Smartphone Market Records Highest Ever Q1 Decline of 19%, 5G Smartphones Contribution at 43%
  4. Meet Counterpoint at IDMC 2023
  5. ‘Made in India’ Smartphone Shipments Decline 8% YoY in Q3 2022 Due to Fall in Local Demand
  6. ‘Made in India’ Smartphone Shipments Grew 16% YoY in Q2 2022; Domestic Manufacturing Push in Wearables Continues to Grow
  7. ‘Made in India’ TV Shipments Grow 33% QoQ in Q3 2022; TWS Leads Electronic Wearables Segment Local Manufacturing

‘Made in India’ Smartphone Shipments Decline 8% YoY in Q3 2022 Due to Fall in Local Demand

  • OPPO led the ‘Made in India’ smartphone shipments with a 24% share, followed by Samsung.
  • Bharat FIH remained the top EMS player in terms of smartphone shipments.
  • Among Indian players, Dixon emerged as the top smartphone EMS provider. 

New Delhi, Hong Kong, Seoul, London, Beijing, San Diego, Buenos Aires – December 27, 2022

‘Made in India’ smartphone shipments declined 8% YoY in Q3 2022 (July-September) to reach over 52 million units, according to the latest research from Counterpoint’s Made in India service. This is the first decline reported this year. Economic headwinds that led to a decline in consumer demand, and market uncertainties due to geopolitics were the prime reasons for the contraction.

Commenting on the local manufacturing ecosystem, Senior Research Analyst Prachir Singh said, “The Made in India smartphone shipments declined in Q3 2022 as compared to Q3 2021. Two major forces impacted the growth of such smartphone shipments. First, the decline in consumer demand, especially in the entry-level segment, due to the negative macroeconomic indicators. Second, the high channel inventory at the start of the quarter also impacted the manufacturing during the quarter. The country’s smartphone manufacturing ecosystem continues to grow with almost 63% of such shipments coming from in-house manufacturers and 37% from third-party EMS players. OPPO led the Made in India smartphone shipments in Q3 with a 24% share, followed by Samsung and vivo. BYD and Lava were the fastest-growing manufacturers in terms of smartphone shipments. Further, we will continue to see PLI disbursements in subsequent quarters, which will add to the local manufacturing landscape. Overall, the manufacturing trend is witnessing an upward trajectory with multiple partnerships happening in recent months, like the ones between Tata Group and Wistron and between Foxconn and Vedanta.”

India Smartphone Shipment Share by Manufacturer Q3 2022
Source: Counterpoint Made in India Research, Q3 2022
Note: Figures may not add up to 100% due to rounding

On the Indian government’s focus, Research Analyst Priya Joseph said, “On the regulatory front, despite the adverse global climate, the Indian smartphone market has remained resilient. The government’s efforts to bring about a supply chain shift and make India a manufacturing hub with constant policy interventions in the form of PLI schemes has helped the country to attract major global players across the value chain. Further, the government is actively pursuing the target of expanding the local value addition from the present 17-18% to 25% in the near future.”

Looking ahead, we believe that the manufacturing volumes will grow with an increasing focus of the OEMs to export to other countries. Increasing local value addition and exports have been the main focus points of the government under the ‘Make in India’ scheme.

Notes:

  • OPPO manufactures smartphones for OPPO, realme and OnePlus.
  • Bharat FIH manufactures smartphones for Xiaomi.
  • Dixon Technologies manufactures smartphones for Samsung.
  • Dixon Technologies’ share does not include Padget Electronics.

Background

Counterpoint Technology Market Research is a global research firm specializing in products in the TMT (technology, media and telecom) industry. It services major technology and financial firms with a mix of monthly reports, customized projects and detailed analyses of the mobile and technology markets. Its key analysts are seasoned experts in the high-tech industry.

Analyst Contacts:

Prachir Singh

Priya Joseph

Tarun Pathak

Follow Counterpoint Research

Related Posts

  1. Consumption of Indian Semiconductor Components to Climb to $300-Billion Cumulative Revenue During 2021-2026
  2. Global Smart Hardware Manufacturing Diversification Going Steady and Strong
  3. India Smartphone Shipments Decline 9% YoY in 2022, Premium Segment Share Hits Double Digits for First Time
  4. OPPO Leads ‘Made in India’ Smartphone Shipments in Q1 2022; Local Smartphone Manufacturing Volume Grows 7% YoY
  5. ‘Made in India’ Smartphone Shipments Grew 16% YoY in Q2 2022; Domestic Manufacturing Push in Wearables Continues to Grow

Coverage

Insights

Social media

Contact us

Copyright ⓒ Counterpoint Technology Market Research | All rights reserved

Term of Use and Privacy Policy

Counterpoint Technology Market Research Limited

Registration

In order to access Counterpoint Technology Market Research Limited (Company or We hereafter) Web sites, you may be asked to complete a registration form. You are required to provide contact information which is used to enhance the user experience and determine whether you are a paid subscriber or not.
Personal Information When you register on we ask you for personal information. We use this information to provide you with the best advice and highest-quality service as well as with offers that we think are relevant to you. We may also contact you regarding a Web site problem or other customer service-related issues. We do not sell, share or rent personal information about you collected on Company Web sites.

How to unsubscribe and Termination

You may request to terminate your account or unsubscribe to any email subscriptions or mailing lists at any time. In accessing and using this Website, User agrees to comply with all applicable laws and agrees not to take any action that would compromise the security or viability of this Website. The Company may terminate User’s access to this Website at any time for any reason. The terms hereunder regarding Accuracy of Information and Third Party Rights shall survive termination.

Website Content and Copyright

This Website is the property of Counterpoint and is protected by international copyright law and conventions. We grant users the right to access and use the Website, so long as such use is for internal information purposes, and User does not alter, copy, disseminate, redistribute or republish any content or feature of this Website. User acknowledges that access to and use of this Website is subject to these TERMS OF USE and any expanded access or use must be approved in writing by the Company.
– Passwords are for user’s individual use
– Passwords may not be shared with others
– Users may not store documents in shared folders.
– Users may not redistribute documents to non-users unless otherwise stated in their contract terms.

Changes or Updates to the Website

The Company reserves the right to change, update or discontinue any aspect of this Website at any time without notice. Your continued use of the Website after any such change constitutes your agreement to these TERMS OF USE, as modified.
Accuracy of Information: While the information contained on this Website has been obtained from sources believed to be reliable, We disclaims all warranties as to the accuracy, completeness or adequacy of such information. User assumes sole responsibility for the use it makes of this Website to achieve his/her intended results.

Third Party Links: This Website may contain links to other third party websites, which are provided as additional resources for the convenience of Users. We do not endorse, sponsor or accept any responsibility for these third party websites, User agrees to direct any concerns relating to these third party websites to the relevant website administrator.

Cookies and Tracking

We may monitor how you use our Web sites. It is used solely for purposes of enabling us to provide you with a personalized Web site experience.
This data may also be used in the aggregate, to identify appropriate product offerings and subscription plans.
Cookies may be set in order to identify you and determine your access privileges. Cookies are simply identifiers. You have the ability to delete cookie files from your hard disk drive.