India's Smartphone Exports to the US Surge, Driving Electronics Manufacturing Past Rs 12 Lakh Crore Milestone
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India has emerged as the top smartphone supplier to the United States, marking a significant shift in the global electronics manufacturing landscape. This milestone is coupled with the nation's electronics manufacturing reaching a value of Rs 12 lakh crore.

Union Minister Ashwini Vaishnaw highlighted this achievement, stating that India's electronics production has grown sixfold in the last 11 years. Addressing an event in Bengaluru, Vaishnaw also noted that electronic exports have increased eightfold, reaching Rs 3 lakh crore. This remarkable growth underscores India's expanding role in the global electronics market.

India's rise as a leading smartphone supplier to the US is primarily attributed to Apple's strategic shift in its supply chain. As trade tensions between the US and China persist, companies like Apple have been diversifying their manufacturing bases. Apple has significantly increased its iPhone production in India, with a substantial portion of this output destined for the US market.

Data from research firm Canalys (now part of Omdia) indicates that Indian-made smartphone shipments to the US surged by 240% in the second quarter of 2025. These smartphones now account for 44% of all smartphones shipped to the US during this period, a notable increase from just 13% a year ago. In contrast, China's share of US-bound smartphone shipments fell to 25%, a sharp decline from 61% in the same period last year.

While Apple has been instrumental in driving this shift, other brands like Samsung and Motorola have also begun to increase their manufacturing in India for the US market. However, their contribution is smaller compared to Apple's. Samsung, for instance, still relies heavily on Vietnam for a significant portion of its production.

India's journey to becoming a global electronics manufacturing hub has been supported by strategic government measures and increased foreign investment. In 2014, India had only two mobile manufacturing units. Today, the nation boasts over 300 manufacturing units, demonstrating the sector's rapid expansion. In fact, 99.2% of all mobile phones sold in India are now manufactured domestically. The manufacturing value of mobile phones has surged from Rs 18,900 crore in FY14 to Rs 4,22,000 crore in FY24.

The Production Linked Incentive (PLI) scheme, a government-led initiative, has played a crucial role in this transformation. The scheme has attracted investments upward of ₹13,000 crore, resulting in production of nearly ₹8.57 lakh crore and the creation of over 1.35 lakh direct jobs. The scheme's impact on international trade is demonstrated by the ₹4.65 lakh crore in export data.

Furthermore, foreign direct investment into electronics manufacturing has exceeded $4 billion since FY21, with approximately 70% of this inflow linked to PLI beneficiaries. The Semicon India programme, with investments of more than Rs 1.55 trillion, is expected to create over 27,000 direct jobs and establish a robust chip-making ecosystem.

Vaishnaw emphasized that India is now the world's second-largest manufacturer of mobile phones. This growth aligns with Prime Minister Narendra Modi's vision of making technology accessible to all and establishing India as a global technology hub.


Writer - Isha Nair
Isha Nair is a dynamic journalist, eager to make her mark in the vibrant media scene, driven by a profound passion for sports. A recent graduate with a flair for digital storytelling, Isha is particularly interested in local arts, culture, and emerging social trends. She's committed to rigorous research and crafting engaging narratives that inform and connect with diverse audiences. Her dedication to sports also inspires her pursuit of compelling stories and understanding community dynamics.
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