Indian Government is likely to put a ban on Chinese smartphones players from selling low range smartphones (that are worth less than Rs.12,000) in India. The decision has been made to assure the boost of Indian brands like Micromax, Lava, Karbonn and others.
Ban on Chinese Smartphones
This initiative has been made to push the chinese smartphone makers “out of the lower segment of the world’s second biggest mobile market.”
This will gradually give a blow to companies like Xiaomi and Realme that have actually captured more than 50 per cent of the Indian market.
• One-third of smartphone sales in India are under Rs. 15,000
Chinese smartphone manufacturers currently dominate the budget smartphone segment or the under Rs 15,000 price segment, counting up to 80% of India’s one-third of smartphone sales shipment.
Brands like Xiaomi, Poco, Realme, etc. companies are going to have an impact on their sales.
The fight between India and China is going on for quite some time now. Some Chinese smartphone companies are under scrutiny recently. In the last few months, some Chinese firms, including Xiaomi, Vivo, and Oppo were charged by the ED over alleged tax evasion.
• ED froze bank accounts of Vivo for a money laundering case
Recently, the Enforcement Directorate froze Vivo’s bank accounts in a money laundering case. The company later urged the authorities to unfreeze the bank accounts so the company could continue business in the country.
However, the Indian government has not announced official details on restricting sell of under Rs 12,000 Chinese smartphones and also the initial plan and moves for it.