Chinese Phones Costing Less Than Rs. 12,000 To Be Banned In India; Will Apple, Samsung Benefit?

Smartphone market in India is dominated by Chinese brands like Xiaomi, Oppo, Realme, Infinix, Tecno, and many more. It looks like these OEMs have received a huge blow from the Indian government as India wants to ban smartphones costing less than Rs. 12,000. It would be pushing out brands from the lower segment in one of the biggest mobile markets.

India To Ban Phones Costing Less Than Rs. 12,000

Brands like Realme, Infinix, Tecno, and others have been undercutting local manufacturers, which has been a huge concern for the Indian government. A report from NDTV India cites that most of these Chinese brands have already come under the radar, including the recent raids on Vivo India's 44 locations.

Other brands like Xiaomi and Oppo are also under the radar for scrutiny of their finances. Vivo is currently being investigated for money laundering allegations. Presently, it's unclear if the Indian government will announce any policies to express its preference for Chinese firms. The government might also use informal communication for the same.

The Indian government is also citing unfair competition for the new move. Most Chinese brands have declared losses in the country but still share a massive majority when it comes to sales. Chinese OEM dominance in India hasn't been on 'free and fair competition,' the report quoted India's junior tech minister.

This isn't the first time that India has made drastic moves to curb Chinese-made products and services in India. Previously, Chinese-linked apps like TikTok, PUBG Mobile, and many more were banned. India also used unofficial means to ban Huawei Technologies and ZTE Corp's telecom equipment.

Apple, Samsung To Benefit?

Presently, phones under Rs. 12,000 in India are from Infinix, Redmi, Tecno, Poco, Motorola, Oppo, Realme, and so on. We also have made-in-India phones under Rs. 12,000 from Lava and Micromax. But these just have a smaller share when compared to Chinese counterparts.

Banning phones under Rs. 12,000 won't affect Apple and Samsung. These have mostly placed their devices in the higher segment. That said, India's population relies heavily on phones costing less than Rs. 15,000 as these are affordable and feature-rich. It remains to see how the move will alter the phone market in India.