In a significant development, India’s smartphone exports have surpassed ₹1 trillion within the first five months of the 2026 fiscal year. This achievement marks a substantial 55% increase compared to the same period last year. The government’s Production-Linked Incentive (PLI) scheme has been instrumental in driving this growth, incentivizing major international players like Apple to shift substantial manufacturing to India. The PLI scheme has accelerated widespread transformation and remarkable expansion within the sector. During the April–June quarter, India surpassed China as the leading smartphone exporter to the United States. Made-in-India devices now account for 44% of U.S. smartphone imports, a considerable increase from 13% a year ago. This shift underscores a global trend of supply chain diversification. The PLI scheme has facilitated the development of new supply chains and job creation, establishing the smartphone sector as a major engine for industrial growth and employment. Experts and policymakers view India as well-positioned to sustain and expand its role as a global manufacturing hub. While the government reviews the PLI policy to maintain this positive trajectory, some manufacturers have indicated cost and supply chain challenges in India compared to Vietnam and China.
