India’s Electronics Makers Unfazed by US Tariffs, See Competitive Edge

India’s electronics and IT manufacturers are not overly worried about the recent increase in import tariffs by the United States, according to Electronics and IT Secretary S Krishnan. Speaking at a Cert-In event, Krishnan said the situation remains dynamic and the government is in regular discussions with industry players to assess the impact.

The US recently announced an additional 26% import duty on certain Indian goods, effective from April 9. Despite this, manufacturers in India believe they are in a stronger position compared to their Asian counterparts. Countries like Vietnam face a 46% tariff, China 34%, Indonesia 32%, Taiwan 32%, and Thailand 36%, which puts Indian exporters at a relative advantage.

Mobile phones, led by brands like Apple and Samsung, are a major part of India’s electronics exports. Apple now manufactures a significant number of iPhones in India, while Samsung also has a major production base in the country.

Commenting on the development, GX Group CEO Paritosh Prajapati noted that while the 26% tariff could pose a cost barrier, India still enjoys a competitive edge due to scale, quality, and support from the ‘Make in India’ initiative.

HFCL Managing Director Mahendra Nahata added that such tariffs should be viewed as an opportunity to move up the value chain. He emphasized the need for Indian manufacturers to focus on innovation, AI-based solutions, and sustainability-driven exports to strengthen their global position.

Source: The Economic Times