India’s smartphone exports to the United States have witnessed a significant surge, overtaking diamonds as the country’s largest export to the US. According to the latest data from the Department of Commerce, smartphone exports reached $2 billion in the June quarter, surpassing non-industrial diamond exports valued at $1.44 billion.
The Rise of Smartphone Exports
This remarkable growth is largely attributed to Apple’s iPhone sales, which accounted for 66% of India’s total smartphone exports amounting to $15.6 billion in FY24. The production-linked incentive (PLI) scheme for mobile devices has also played a crucial role in boosting India’s smartphone exports.
A Significant Leap
In the December quarter of FY24, smartphone exports to the US hit $1.42 billion, surpassing diamond exports at $1.3 billion. By the final quarter of FY24, smartphone exports surged by 43% quarter-on-quarter to $2.02 billion, while diamond exports declined by 4.6% to $1.24 billion.
India’s Growing Prominence in Global Smartphone Manufacturing
Before the introduction of the PLI scheme, smartphone exports totaled $1.6 billion in global shipments in FY19. By FY23, Apple exported over $5 billion worth of iPhones from India, contributing significantly to the country’s total smartphone exports of $11.1 billion. In FY24, iPhone exports soared to $10 billion.
Key Statistics:
- Smartphone exports to the US surged by 158% to $5.56 billion
- India’s total smartphone exports amounted to $15.6 billion in FY24
- iPhones accounted for 66% of India’s smartphone exports
- Smartphone exports ranked fourth-largest export from India to the US in the September quarter of FY24
This remarkable growth underscores India’s rising prominence in the global smartphone manufacturing landscape, driven by the government’s supportive policies and the thriving electronics industry. As the country continues to solidify its position as a major player in the global market, the economic benefits are expected to cascade to various sectors, contributing to India’s overall economic growth.
