India's Mobile Manufacturing Soars: PLI 2.0 Aims for Deeper Local Value

• India's mobile phone production surged tenfold to Rs 5.5 lakh crore in FY25, transforming the nation into a global assembly hub.
• The Production-Linked Incentive (PLI) scheme significantly boosted smartphone exports to $24.1 billion in FY25, a substantial increase from $11 billion two years prior.
• India is now the third-largest smartphone exporter globally, with the US receiving 72% of its exports, followed by UAE (11%) and European countries.
• Tamil Nadu has become the leading state for smartphone exports, accounting for about half of all exports in 2025, surpassing Uttar Pradesh.
• Despite assembly growth, India's reliance on imported semiconductor chips remains high, with imports reaching $24.7 billion in 2024-25.

Why It Matters: India's mobile manufacturing thrives with PLI, but local value addition in components like chips is crucial.