Indian government seeks to block Chinese smartphone makers from selling smartphones priced below INR 12.000 ($150/€147)
Όas it states Bloomberg, this comes as an attempt by the government to dislodge from the Indian market all Chinese manufacturers from the budget device segment, giving room to local manufacturers to take a bigger share of the country's market.
Understandably, if this happens, it will affect her more Xiaomi, Realme and Transsion, as they sell many sub-category smartphones in India 150$. According to Counterpoint, smartphones in this price bracket accounted for one-third of the total sales volume in India for the quarter to June of 2022, with Chinese Smartphones accounting for up to 80% of sales.
The idea behind banning Chinese manufacturers from selling sub-$150 smartphones in India is to allow local manufacturers like Lava and Micromax, to increase their sales in this category and regain the largest market share.
In the past, its sales Lava by Micromax they accounted for approx 50% of the total sales volume in India, but all this was reversed once the Chinese manufacturers “entered” the domestic market, offering better specifications at lower prices and eventually managing to dominate the second largest smartphone market in the world.
According to Counterpoint, the Xiaomi, Samsung, the vivo, Realme and Oppo were the top five smartphone manufacturers in India in the second quarter of 2022, with Samsung to be the only non-Chinese company on the list.
While we are yet to hear anything official from the Indian government, this development comes at a time when the Xiaomi , vivo And Oppo are already targeted by the Indian government for illegal business activities in the country, including money laundering and tax evasion.
The Indian government has also banned hundreds of Chinese apps and games from being released in India – including PUBG, and this was the result of the tension that arose between the two countries two years ago, after a clash between Indian and Chinese troops along the Himalayan border.
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