India might not ban Chinese smartphones under Rs 12,000

We recently reported on a story about the Indian government’s potential ban on Chinese-made cellphones sold in the Indian smartphone market for less than 12,000 INR (about USD 150). However, recent research suggested that maybe this is no longer the case.

For those who missed it, the last news mentioned government officials saying that the restriction on less expensive cellphones from China is intended to strengthen domestic firms’ positions in the Indian market.

The most widely used models in the area are smartphones produced by Chinese OEMs. But it seems unlikely that they will be implemented.

The administration currently has no imminent intentions for such a restriction, according to a report on CNBC TV18.

The paper goes on to say that even if the government conceptualises such a ban, executing it is quite another challenge.

It won’t be simple, and according to an industry insider, three out of every ten smartphones sold in India are under 12,000 Indian rupees.

Additionally, 78 per cent of all cellphones sold in this price range are produced by Chinese companies. In essence, this indicates that these Chinese manufacturers dominate this market for mobile devices.

However, just 20% of the Indian market is accounted for by US companies like Apple and South Korean electronics behemoth Samsung.

As a result, a little bit more than 1% of all smartphones sold in India are made by Indian firms like Micromax, Lava, and Karbonn.

Therefore, it won’t come as a surprise if the Indian government has future intentions to level the playing field more fairly for various companies.