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Apple-Google's disillusionment with China! Production will increase ahead of iPhone in India, country can become export hub of devices including Pixel
Samira Vishwas | August 22, 2026 10:24 PM CST

Business Desk – India is fast becoming a big manufacturing hub for Apple and Google. Electronics and IT Minister Ashwini Vaishnav said on August 21 that the government expects Apple to increase production of products other than iPhone in India.

At the same time, Google can bring a large part of the device production for its foreign markets from China to India. According to reports, Google is preparing to stop the production of Pixel phones, smartwatches and wireless earbuds in China by 2027. However, Google has not yet officially confirmed it.

Google may increase manufacturing of Pixel in India

Google had announced to start manufacturing of Pixel smartphones in India in October 2023. Pixel 8 was initially produced. For this the company worked with domestic and international manufacturing partners.

At that time Google had described India as a priority market. The company had said that local production is an initial step towards increasing its device manufacturing capacity in India.

Dixon Technologies is also among the companies assembling Google Pixel smartphones in India. In 2025, Google was preparing to increase the production of its Pixel range in India and export the devices made in India to other countries.

News of Pixel manufacturing to stop in China from 2027

According to reports this week, Google is planning to stop manufacturing Pixel phones, smartwatches and wireless earbuds in China by 2027. After this, these products can be produced in India and Vietnam. However, Google has not yet officially confirmed this plan.

Apple may increase production ahead of iPhone

Apple's manufacturing network in India is much larger than Google's. Apple started assembling iPhones in India in 2017. After this the company increased iPhone production in the country through suppliers like Foxconn and Tata Group.

Now IT Minister Ashwini Vaishnav has said that the government is working with Apple to expand its manufacturing in India beyond iPhone to other products.

Focus on local components in new mobile scheme

This statement of Vaishnav has come amidst the notification of the government's new mobile phone manufacturing scheme. This scheme has been introduced after the previous PLI scheme implemented for large scale electronics manufacturing. The previous PLI scheme ended on March 31, 2026.

Rs 62,500 crore will be spent on the new scheme approved by the cabinet in July. This scheme will run from financial year 2027 to financial year 2031.

Up to 5% incentive for mobile companies

Under the new scheme, companies will get incentives ranging from 2.25% to 5% on the sale of eligible mobile phones. Apart from this, additional incentive of up to 1.5% will be given on domestic procurement of specified components and sub-assemblies.

The government's focus is no longer just on making more mobile phones in India. It also wants to increase the production of more and more components used in mobile phones in the country.

99.2% of mobiles used in India are being made here

According to government data, 99.2% of mobile phones used in India are now made in the country. Domestic value addition in mobile manufacturing had increased to 23% in FY 2024.

Smartphones become India's largest individual export product category in FY2026. This means that a large number of smartphones are being made in India and are being sent to other countries also.

The government has also increased incentives for electronics components and semiconductor manufacturing. Its objective is to develop more and more part of the electronics supply chain in India.


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