News Brief
Study Indicates India's Gradual Gain In Export Market Share Over China, Especially In US, UK: All About It
Maps of India and China. (Illustration: Swarajya Magazine)
A recent study reveals that India is making significant strides in the electronics export market, presenting a challenge to China's longstanding dominance, particularly in crucial markets like the UK and US.
As geopolitical tensions escalate and concerns over supply chain vulnerabilities grow, manufacturers are increasingly diversifying their supply chains away from China to other parts of Asia, with India emerging as a beneficiary.
As reported by Economic Times, in November last year, India's electronics exports to the US as a proportion of China's surged to 7.65 per cent, up from 2.51 per cent in November 2021.
Similarly, in the UK, India's share rose to 10 per cent from 4.79 per cent.
As per the study, the Indian government is actively attracting electronics manufacturers with incentives such as tax cuts, rebates, and streamlined land acquisition processes, aiming to bolster domestic manufacturing capabilities and boost exports.
Key players like Samsung Electronics Co. and Apple Inc. - through their contract manufacturers Foxconn Technology Group and Pegatron Corp. - have significantly expanded their presence in India, with Samsung operating its largest mobile phone factory in the country.
The rise in electronic exports can also be attributed in part to increased investment by Foxconn in India, according to analysts.
While India's progress in gaining market share has been more pronounced in the US and UK, its presence in Europe and Japan remains relatively limited, indicating a shift towards dual supply chains rather than a complete abandonment of China-based production.
The report also states that Indian companies are positioning themselves as vital partners in multinational corporations' 'China plus one' strategy, offering backup capacity in alternative locations.
