India Mandates Full CCTV Hardware, Software Scrutiny Amid Rising Concerns Over Chinese Surveillance

In what is being seen as a major setback for Chinese electronics giants, the Indian government has made it mandatory for CCTV camera manufacturers to submit hardware, software, and even source code for security assessment in government labs before they can sell their products in the country, Reuters reported, citing sources.

The new rules, effective from 9 April, will impact major global players such as China’s Hikvision, Xiaomi and Dahua, South Korea’s Hanwha, and the US-based Motorola Solutions.

However, Chinese firms stand to suffer the most—given their dominant presence in India’s surveillance market.

Though the directive applies to all internet-connected CCTV devices manufactured or imported after 9 April, Chinese companies are in the spotlight due to their sheer market size.

While replying to a question asked in the Parliament in 2021, the then IT minister said that more than 1 million cameras installed in government institutions were from Chinese companies, with risks of sensitive video data being routed to foreign servers.

“There’s always an espionage risk,” former cybersecurity chief Gulshan Rai was quoted as saying by Reuters.

“Anyone can operate and control internet-connected CCTV cameras sitting in an adverse location," Rai added.

India’s concerns are rooted in both geopolitics and cybersecurity.

According to Counterpoint Research, India’s CCTV camera market stood at $3.5 billion last year and is projected to double to $7 billion by 2030.

Chinese firms control over 30 per cent of this space, and 80 per cent of components are sourced from China.

Indian company CP Plus holds a 48 per cent share, but foreign firms dominate key segments.

Security concerns have intensified globally over the Chinese tech equipment.

The US in 2022 banned sales of Hikvision and Dahua equipment, citing national security risks. Britain and Australia have also restricted China-made devices.

Against this backdrop, India’s move to enforce stringent testing—covering source code audits and factory inspections—is being seen as a preemptive national security shield.

For Chinese surveillance giants, this could mean delays, losses, and even a shrinking foothold in one of the world’s fastest-growing major economy.

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