India Set to Capture 20 Percent of Global Smartphone Manufacturing Market in 2025

India is rapidly emerging as a global hub for smartphone production, with its share expected to reach 20 percent of worldwide output by 2025. This growth is driven by shifting manufacturing trends, tariff impacts on China, and strong export demand from leading brands such as Apple and Samsung.  

Industry Growth and Market Trends  

- India’s smartphone manufacturing output is projected to grow in double digits, capturing a record 20 percent share of global production  
- The global smartphone industry is expected to decline by 1 percent year-on-year in 2025, following a modest 4 percent growth in 2024  
- China, India, and Vietnam collectively accounted for over 90 percent of global smartphone production in 2024, with India leading in growth  

Factors Driving India’s Expansion  

India’s rise in smartphone manufacturing is fueled by several key factors, including government incentives, improved local production capabilities, and global brands reallocating production away from China. The Electronics Components Manufacturing Scheme has further strengthened India’s position by offering incentives to companies investing in component production.  

Strategic Shifts and Future Outlook  

With global players diversifying their supply chains, India is expected to maintain its upward trajectory in smartphone manufacturing. The country’s maturing domestic ecosystem and increasing export demand position it as a long-term leader in the industry.  

Sources: Counterpoint Research, Economic Times, Moneycontrol.