India to lead global smartphone manufacturing in 2025 as global output dips: Report
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India is poised to emerge as the top gainer in global smartphone manufacturing in 2025, even as worldwide production faces a slowdown, according to a new report by Counterpoint Research released on Tuesday.
While global smartphone manufacturing output is projected to decline by 1% year-on-year in 2025, following a 4% increase in 2024, India is expected to register double-digit growth, pushing its share of global production to a record 20%. This growth will be primarily driven by rising export demand from tech giants Apple and Samsung.
In 2024, China, India, and Vietnam together accounted for over 90% of global smartphone manufacturing. India led in terms of growth and is expected to continue that trend in 2025, even as other countries show mixed performance. China, in particular, is expected to see a drop in output due to tariff pressures and weak domestic demand.
According to Counterpoint Research Senior Analyst Ivan Lam, rising tariffs and the post-pandemic shift in global manufacturing have prompted many smartphone brands to reduce their reliance on China. “Consequently, brand owners have no choice but to move out of China and allocate more production capacity and output in other countries,” he said. Vietnam benefits from its proximity to China and a mature export sector, while India offers strong growth potential.
Prachir Singh, also a Senior Analyst at Counterpoint, highlighted India’s evolving electronics manufacturing landscape: “With traditional global EMS giants continuing to invest in India and local EMS actively participating, the country’s local manufacturing capabilities have significantly improved and are now capable of meeting higher production demands – after nearly a decade of refinement.”
He also noted that India’s broader manufacturing ecosystem continues to strengthen in terms of both quality and technological complexity. To further bolster the sector, the Indian government has introduced the Electronics Components Manufacturing Scheme (ECMS), which provides incentives for companies to invest and manufacture components locally.
