India's Smartphone Exports Surge 30% in 2025, U.S. Tariffs Drive Growth

India's smartphone exports in the first half of 2025 reached 40 million units, marking a 30% year-over-year increase. This growth underscores the robust development of India's electronic manufacturing ecosystem and its increasingly pivotal role in the global supply chain. The surge in exports is a testament to the country's efforts in building a strong domestic production base, supported by government initiatives such as the Production Linked Incentive (PLI) scheme and rapid expansion of local production capacities. As a result, India has become a major manufacturing and export hub for smartphones globally.

In the first half of 2025, the United States remained the top destination for India's smartphone exports, accounting for 54% of the total shipments. This represents a significant increase from 30% in the same period last year. The rise in exports to the U.S. can be attributed to the imposition of additional tariffs by the U.S. in the first quarter of 2025, which prompted major brands, led by Apple, to expand their export volumes from India. This move aimed to avoid potential price increases in the U.S. market and reduce dependence on China, thereby driving the surge in sales. Meanwhile, exports to Europe decreased by 25% year-over-year, with the share dropping from 47% in the first half of 2024 to 27% in the first half of 2025. This decline is primarily due to Apple redirecting a significant portion of its shipments to the U.S. to build inventory. Looking ahead, India is poised to remain a key exporter to Europe, driven by the export-oriented manufacturing strategies of Apple and Samsung, as well as their strong market positions in Europe.

Apple's export volume grew by 53% year-over-year, surpassing 20 million units for the first time in the first half of 2025. This growth is fueled by Apple's enhanced manufacturing capabilities in India, increased production capacity, and supportive government policies. Additionally, the U.S. tariffs have accelerated Apple's export-oriented manufacturing expansion. iPhone models dominated the export rankings, with the iPhone 16 leading at 18% of the total export volume, followed by the iPhone 15 and iPhone 16e. Samsung's smartphone exports saw a modest 1% year-over-year increase. Over 60% of Samsung's exports were directed to Western European markets such as Austria, Germany, France, and Spain, while exports to the U.S. surged by 268% year-over-year. The Galaxy A series accounted for three-quarters of Samsung's total smartphone exports, reflecting the brand's continued focus on the mid-range market.

Motorola experienced a remarkable 700% year-over-year growth, becoming the fastest-growing brand with exports exceeding 1 million units. Nearly 95% of these exports were destined for the U.S. market. According to the global smartphone model monthly sales tracking report, Motorola's U.S. sales increased by 10% year-over-year in the first half of 2025, capitalizing on the lack of new product launches from competitors like HMD and the reduction in U.S. operations by some smaller manufacturers. Motorola's early release of its 2025 G series models allowed it to capture demand during the tax season, enabling it to surpass Xiaomi and Vivo to become the third-largest smartphone exporter from India in the first half of 2025.

Looking ahead, the continued expansion of smartphone manufacturers and supportive government initiatives, such as the PLI scheme, are expected to drive sustained growth in India's smartphone exports. However, recent announcements of tariffs on Indian goods by the U.S., with rates potentially reaching 50%, introduce uncertainty into the future supply chain landscape. While smartphones and electronic products are currently exempt, the temporary nature of this exemption means the future remains unpredictable. Smartphone manufacturers and producers will need to remain agile, adapting to changing trade policies and leveraging market diversification and strategic trade agreements to maintain India's growth momentum in the global electronics export sector.