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Xiaomi Urges India to Ease Scrutiny and Boost Manufacturing Incentives Amid Supplier Concerns

Xiaomi, a leading smartphone company in China, has raised concerns with the Indian government about the difficulties suppliers face when considering setting up shop in India. This comes as Chinese companies face intense scrutiny in India. Xiaomi, which holds the largest market share in India's smartphone sector at 18%, has suggested that India should offer more incentives for manufacturing and reduce import tariffs on some smartphone parts to help boost local production.


DALL·E 2024-02-11 17.52.08 - A visually compelling cover picture illustrating the theme of technology collaboration and manufacturing incentives between China and India.
DALL·E- A visually compelling cover picture illustrating the theme of technology collaboration and manufacturing incentives between China and India...

The company assembles its phones in India using mainly local parts, but still relies on imports for some components. The discussion was sparked by a request from India's IT ministry for suggestions on how to grow the nation’s smartphone component manufacturing. Xiaomi's letter, dated February 6, was a response to this query.

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