India Scraping Import Duties on Electronics and Battery Inputs to Boost Local Manufacturing
A finance ministry notification waives customs duty on machinery and components for batteries, displays, and smartphone parts through 2029.
Key Takeaways:
- July 9, 2026: India removes import duties on various machinery and components used in electronics manufacturing, targeting a shift away from China’s dominance in the global supply chain.
- Focus Areas: Battery production (widened list of duty-free machinery), smartphone parts (specifically wireless-charging inductor coil modules), and display supply chain for automotive, medical, and industrial applications.
- Target Companies: iPhone and Samsung makers, with an eye on attracting more hardware manufacturing to India.
- Impact: Expected cost reduction for local cell plants and improved margins for electronics manufacturing services firms.
- Background: Part of a broader strategy to leverage Apple’s supplier network and contract manufacturers like Foxconn and Tata Electronics, highlighted by recent data leaks exposing India’s growing role in iPhone production.
Image by: Naveed Ahmed/Unsplash
In a strategic move, India is streamlining its import duties on essential components, aiming to bolster local manufacturing capabilities in the electronics sector. This initiative comes as the country seeks to solidify its position in global supply chains and court major tech manufacturers.