India’s smartphone exports have reached a historic ₹1 trillion in just the first five months of FY 2026, marking a 55% increase compared to the same period last year. This surge has been largely propelled by the government’s Production-Linked Incentive (PLI) scheme, which has incentivised global players like Apple to shift substantial manufacturing operations to India.
According to recent reports, Tata Electronics and Foxconn contributed close to ₹75,000 crore, accounting for nearly three-fourths of the total smartphone exports during this period. The PLI scheme has also facilitated wider sectoral transformation and record-breaking expansion.
It was Smartphone Exports Cross ₹1 Trillion in 5 Months, Boosted by PLI Schemethe April–June quarter that India overtook China as the leading smartphone exporter to the United States. Made-in-India devices now account for 44% of U.S. smartphone imports—a sharp rise from just 13% a year ago. This new shift is part of a larger global supply chain realignment, as manufacturers seek more cost-effective and stable alternatives outside of China.
The PLI scheme has helped foster the growth of new supply chains and job creation, making the smartphone sector a major industrial and employment magnet.
Domestic players have been expanding production capacity, and foreign giants have committed to further investments. Experts and policymakers view India as being well-positioned to maintain and grow its role as a global manufacturing hub.
The government is currently reviewing the PLI policy to ensure such growth trends continue. However, leading manufacturers have highlighted cost and supply chain disadvantages in India when compared to Vietnam and China.
