--- title: India bets billions on breaking China’s grip on... description: India has launched a $6.5 billion Mobile Phone Manufacturing Scheme running through 2031, offering incentives of 2.25%–5% on eligible sales plus an extra 1.5%... canonical: https://daily.dev/posts/india-bets-billions-on-breaking-china-s-grip-on-smartphone-manufacturing-vwwgizon7 twitter:card: summary_large_image twitter:site: @dailydotdev og:type: website og:site_name: daily.dev og:title: India bets billions on breaking China’s grip on smartphone manufacturing | daily.dev og:description: India has launched a $6.5 billion Mobile Phone Manufacturing Scheme running through 2031, offering incentives of 2.25%–5% on eligible sales plus an extra 1.5%... og:url: https://daily.dev/posts/india-bets-billions-on-breaking-china-s-grip-on-smartphone-manufacturing-vwwgizon7 og:image: https://api.daily.dev/og/posts/vWWgIzON7.png og:image:alt: India bets billions on breaking China’s grip on smartphone manufacturing og:image:width: 1200 og:image:height: 630 og:locale: en --- > ## Documentation Index > Fetch the complete documentation index at: https://daily.dev/llms.txt > Use this file to discover all available pages before exploring further. # India bets billions on breaking China’s grip on smartphone manufacturing **[TechCrunch](https://daily.dev/sources/tc)** · 4 min read · 0 upvotes · 0 comments ## Summary India has launched a $6.5 billion Mobile Phone Manufacturing Scheme running through 2031, offering incentives of 2.25%–5% on eligible sales plus an extra 1.5% for local component sourcing. Alongside this, New Delhi expanded its semiconductor push to $13.3 billion, covering chip equipment, materials, design, and R&D. The moves build on India's existing iPhone assembly success — Apple now makes roughly 25% of its iPhones there — and aim to shift from pure assembly toward deeper local value capture. India currently holds 18% of global smartphone production versus China's 63%, and the government targets 35–40% of global output long-term, projecting $405 billion in mobile production and 60,000 direct jobs over the program's five-year span. ## Full article daily.dev links to this article rather than hosting it. Read it at the original source: ## Questions this post answers ### How much money is India committing to its new smartphone manufacturing incentive program? India committed ₹625 billion, about $6.5 billion, to the Mobile Phone Manufacturing Scheme, which runs for five years through March 2031. It rewards manufacturers based on eligible sales with incentives from 2.25% to 5%, plus an extra 1.5% for sourcing components and sub-assemblies domestically, and a 3% incentive for product design and research to foster homegrown brands. _daily.dev surfaces manufacturing and supply-chain policy shifts for those tracking hardware industry trends._ ### What share of global smartphone production does India versus China currently hold? China accounted for 63% of global smartphone production in 2025 compared with India's 18%, according to Counterpoint Research. This gap illustrates the scale of the manufacturing and supplier ecosystem India is trying to build through its new incentive programs, even as Apple already assembles about 25% of its iPhones in the country. _Keep track of shifting global manufacturing dynamics and supply chains through daily.dev._ ### How much has India committed to semiconductor manufacturing incentives beyond its 2021 chip program? India committed a further ₹1.28 trillion, around $13.3 billion, to bolster domestic semiconductor manufacturing, expanding a $10 billion chip incentive program launched in 2021. The new funding adds greater support for chip equipment, materials, design, and research, aiming to deepen India's electronics supply chain beyond assembly. _Developers following semiconductor and hardware supply chains can track policy shifts like this via daily.dev._ ## Similar posts on daily.dev - [Apple now makes one in four iPhones in India: report](https://daily.dev/posts/apple-now-makes-one-in-four-iphones-in-india-report-hv6gwdy14) · TechCrunch · 0 upvotes · 0 comments - [After Apple, India’s smartphone manufacturing boom enters new phase with Vivo JV](https://daily.dev/posts/after-apple-india-s-smartphone-manufacturing-boom-enters-new-phase-with-vivo-jv-g2ns7etfj) · TechCrunch · 0 upvotes · 0 comments --- Tags: [#apple](https://daily.dev/tags/apple), [#supply-chain](https://daily.dev/tags/supply-chain) [View this post on daily.dev](https://daily.dev/posts/india-bets-billions-on-breaking-china-s-grip-on-smartphone-manufacturing-vwwgizon7) ```json {"@context":"https://schema.org","@graph":[{"@type":"Organization","@id":"https://daily.dev/#organization","name":"daily.dev","url":"https://daily.dev","logo":{"@type":"ImageObject","url":"https://daily.dev/apple-touch-icon.png","width":180,"height":180},"sameAs":["https://twitter.com/dailydotdev","https://github.com/dailydotdev","https://www.linkedin.com/company/daily-dev-ltd"]},{"@type":"WebSite","@id":"https://daily.dev/#website","url":"https://daily.dev","name":"daily.dev","publisher":{"@id":"https://daily.dev/#organization"},"potentialAction":{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https://daily.dev/search?q={search_term_string}"},"query-input":"required name=search_term_string"}}]} {"@context":"https://schema.org","@type":"TechArticle","headline":"India bets billions on breaking China’s grip on smartphone manufacturing","url":"https://daily.dev/posts/india-bets-billions-on-breaking-china-s-grip-on-smartphone-manufacturing-vwwgizon7","mainEntityOfPage":{"@type":"WebPage","@id":"https://daily.dev/posts/india-bets-billions-on-breaking-china-s-grip-on-smartphone-manufacturing-vwwgizon7"},"datePublished":"2026-07-15T14:43:26.175Z","dateModified":"2026-07-15T14:47:42.633Z","description":"India has launched a $6.5 billion Mobile Phone Manufacturing Scheme running through 2031, offering incentives of 2.25%–5% on eligible sales plus an extra 1.5%...","image":"https://media.daily.dev/image/upload/f_auto,q_auto/v1/posts/c4da66ab0d7b91404c71ef6ea4ee9441?_a=AQAEuop","thumbnailUrl":"https://media.daily.dev/image/upload/f_auto,q_auto/v1/posts/c4da66ab0d7b91404c71ef6ea4ee9441?_a=AQAEuop","isAccessibleForFree":true,"articleSection":"TechCrunch","inLanguage":"en","publisher":{"@type":"Organization","name":"daily.dev","url":"https://daily.dev","logo":{"@type":"ImageObject","url":"https://daily.dev/apple-touch-icon.png","width":180,"height":180}},"author":{"@type":"Organization","name":"TechCrunch","logo":"https://media.daily.dev/image/upload/t_logo,f_auto/v1/logos/tc","url":"https://daily.dev/sources/tc"},"commentCount":0,"discussionUrl":"https://daily.dev/posts/india-bets-billions-on-breaking-china-s-grip-on-smartphone-manufacturing-vwwgizon7","interactionStatistic":[{"@type":"InteractionCounter","interactionType":{"@type":"LikeAction"},"userInteractionCount":0},{"@type":"InteractionCounter","interactionType":{"@type":"CommentAction"},"userInteractionCount":0}],"keywords":"apple,supply-chain","timeRequired":"PT4M"} {"@context":"https://schema.org","@type":"BreadcrumbList","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https://daily.dev"},{"@type":"ListItem","position":2,"name":"TechCrunch","item":"https://daily.dev/sources/tc"},{"@type":"ListItem","position":3,"name":"India bets billions on breaking China’s grip on smartphone manufacturing"}]} ```