India's smartphone exports to US fly high, retreat in top European markets

An interplay of smartphone makers' decisions and government trade policies could be the reason for trend

India’s production-linked incentive scheme for smartphones has given it rich dividends in international trade. Smartphones are the largest exported commodity this year, and shipments have more than doubled from nearly $11 billion in FY23 to $24.14 billion in FY25.

 

However, the destination market for such exports has narrowed over time, with the United States (US) becoming the dominant buyer of India-made smartphones. It means that India’s smartphone export success is contingent upon the US, with which it is embroiled in a trade dispute.

 

Smartphones are exempt from the 50 per cent tariff the US levies on Indian goods entering its