China’s biggest competitor in mobile manufacturing market plans to invest more than $ 6.65 billion into the IT industry in the coming years. News has appeared on Vosveteit.sk.
“Even so, all smartphones and other electronic devices are made in China,” – a phrase most of us have probably heard. Until this year, it was really true, but the reality will probably turn fundamentally soon. In upcoming years we will heard more “the most phone are made from India”. The ever-growing manufacturing giant, India, plans to significantly support the IT segment in the coming years, or to create new jobs in this segment. The Indian Ministry of Electronics and Information Technology’s long efforts have recently resulted in an agreement on an incentive program for the industry, which the Indian authorities say will produce more than $ 143 billion worth of components.
The largest producers are heading to India
The Indian Ministry of Electronics and Information Technology stated only yesterday that the incentive program will include up to 16 companies, with companies such as Samsung and several major manufacturers of Apple smartphones on the list.
“Apple and Samsung account for almost 60% of global mobile phone sales, and the scheme is expected to increase their production base in the country,” the ministry said.
According to the Indian authorities, the industry as a whole will reportedly generate smartphones and other components totaling up to $ 143 billion, with India providing these manufacturers with an incentive of 4% to 6% for additional locally produced goods over five years. It should motivate other makers of phone to move in India. However, the biggest benefit for India’s regions should be a really huge number of new jobs, with a total of up to 800,000. However, the whole package includes 200,000 direct jobs and 600,000 indirectly created jobs, which will be linked to the whole industry.
According to the Indian Ministry, one of the goal of a country is to increase the competitiveness of its own brands and manufacturers. The scheme also includes ever-growing Indian companies, and we do not find any Chinese manufacturer such as Xiaomi, Oppo, Vivo, OnePlus or Realme on the list. Also we have to mention, that, in India, up to 80% of the market is currently controlled by Chinese producers. But according the statement of the ministry, if would change in future.