India Launches $6.5 Billion Smartphone Manufacturing Scheme
India Launches $6.5 Billion Smartphone Manufacturing Scheme
IN · Published Jul 16, 2026
India has announced a ₹625 billion ($6.5 billion) Mobile Phone Manufacturing Scheme to boost domestic smartphone production and reduce reliance on China.
The program, running for five years, offers incentives of 2.25% to 5% on eligible sales and an additional 1.5% for sourcing components locally.

Impact & Risks

The initiative could significantly boost India's electronics manufacturing sector, creating an estimated 60,000 direct jobs and fostering local component ecosystems. However, challenges remain in competing with China's well-established supply chain and manufacturing expertise. The success of the program will depend on attracting global manufacturers and building a robust domestic supply chain.

Related News