Why Modi Government banning Chinese Smartphone in India?

Why Modi Government banning Chinese Smartphone in India?


Do you know why the Modi government banning Chinese smartphone in india? In this blog you will get the answer why modi government banning Chinese smartphone. Recently Indian government has taken decision to place ban on china based mobile phones , elier modi government has ban the Chinese based application like tik tok , pubg , uc browser and many more application . Now it time for the Chinese smartphone , soon this modi government will boycott the china soon from india  that the pretty good news for the india economy .

Modi government is planning to ban the smartphone which are less than Rs 12,000 to boost the sale of home brands like micromax , lava and many other Indian companies which are making low end mobile phones  now it’s a good news that  Indian government will is promoting the made in Indian product .

Why Modi government is out for Chinese smartphone?

In recent months , Chinese smartphone makers like oppo , vivo and xiaomi has been subjected to strict scrutiny in Indian amid mounting allegations of tax evasion and fraud .

Since border tensions with china flared up in 2020 the government has been under pressure to eradicate Chinese product and services from the country. Although several Chinese apps were banned in the wake of such calls , india could not afford to exercise out right bans on the smartphones industry given its scale and penetration. Building pressure in other ways by accusing the smartphone makers of money laundering , financial terrorism and tax evasion.

The share of Chinese brands volume surged from 32% in 2015 to a whopping 99% in 2021. At the same time the share of Indian brands has fallen from 68 % to 1 % . Or Some of the other mobile companies has been bank corrupted .

Chinese companies managed to accomplish this because they offered superior quality at aggressive price points. Taking them way from the $26 billion smartphone industry will affect the retail market and the companies hundreds of thousands of direct employees

Not only are there no Indian brands to fill the vacuum but the country is also ready to switch to premier brands like apple and Samsung  due to their higher price point. Kicking Chinese companies out of the smartphone market will also undermine Indians aims to turn into an export market.

“ Boycott Boycott Chinese Product ”

The government’s intention, if true will give a body blow to companies like Xiaomi and realme that have captured about the 50 % of the market share in India in this segment according to the research.

Overall ,  Rs 12,000 smartphone contributed all 31 % percent of the total smartphone volumes in india in the june quarter this year compared to  49 % in the same quarter in 2018 Research director Tarun Pathak told IANS.

Chinese Brands Dominate 80 to 90 % of these volumes as jio phone next has ramped up in the last few quarters. This is currently being dominated by the real me and Xiaomi with a 50 % share in the market.

OPPO India, Xiaomi India, and Vivo India were served notices by the Directorate of Revenue Intelligence (DRI) for duty evasion, Finance Minister Nirmala Sitharaman informed Rajya Sabha last week.

A show-cause notice demanding Rs 4,403.88 crore has been served to OPPO Mobiles India Ltd based on an investigation conducted by the DRI, while five cases of Customs duty evasion have been registered against Xiaomi Technology India, Sitharaman said in a written reply.

The DRI detected customs duty evasion of around Rs 2,217 crore by Vivo Mobile India Private Ltd. A show-cause notice has been issued to Vivo India demanding customs duty amounting to Rs 2,217 crore, under the provisions of the Customs Act.

Since April 2020, out of 382 foreign direct investment (FDI) proposals the central government received from Chinese firms, India approved only 80 as of June 29.


Let us boycott the Chinese product and start using the Indian-made product.

Also Read – Top 5 Highest tax-paying company in India 2022

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