- Chinese electronics brands are exporting from India to West Asia, Africa, and the US to diversify supply chains.
- Firms like Oppo, Realme, Hisense, Lenovo, and Transsion have started or expanded exports via Indian partners.
- India’s PLI scheme and policy push are driving this shift, though few Chinese firms have Indian CEOs.
Chinese smartphone and electronics manufacturers are now exporting products from India to West Asia, Africa, and the USA - territories that were traditionally serviced by China and Vietnam. This represents a strategic change because these brands were primarily domestic sales driven, but are now cascading India's increasing manufacturing capabilities and government assistance.
The pivot was enforced by the increasing scrutiny by the governments of the two countries of the activities of Chinese companies since the border tensions were escalated in 2020. Since this time, it was understood with beyond the informal guidance received that Chinese companies were encouraged to select local manufacturers, select Indian nationals as senior leadership roles, establish local supply chains, and export.
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Oppo reported exporting ₹272 crore to end of FY24 , while Realme described that exports were ₹114 crore, both reported as advertised in their RoC filings. Hisense launched Epack Durable pledged a ₹100 crore plant in Sri City to facilitate exports into West Asia and Africa. Lenovo and its subsidiary, Motorola, included laptops, servers and smartphones as exports made in India.
Motorola phones have been made in India under the subsidiary by Dixon Technologies for the US market. Transsion Holdings (Itel, Tecno, Infinix) have touched base and made exports again. Although, Xiaomi, OnePlus, and Midea reported no export proceeds in FY24, sources maintain that many more manufacturers will follow suit within their targeted time frames.
The diversification of supply chains and regulations, particularly risks to tariffs in the US is a serious issue for these Chinese companies. The proliferation of India's production-linked incentive (PLI) scheme has only consolidated favourable outcomes for the companies it incentivizes - leading manufacturers like Dixon can enjoy the benefits.