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At a time when India’s relationship with China is worsening amid a healthcare crisis, the Indian government has decided to halt the approvals for the import of several electronic devices from China.
The import is placed on electronic products with wifi modules such as Bluetooth speakers, wireless earphones, smartphones, smartwatches and laptops. American and Chinese brands such as computer makers Dell and HP as well as Chinese smartphone makers like Xiaomi, Oppo, Vivo and Lenovo are likely to feel the pinch of the delay orders.
Most brands would be looking to delay launches in India, one of the largest consumer electronics market in the world. The Communications Ministry’s Wireless Planning and Coordination (WPC) Wing has reportedly held the approval requests for all product launches in India, according to sources quoted in a Reuters report.
So far, over 80 such applications are reportedly pending with the WPC. Several Indian firms are also waiting for approval to import their products from China.
It is important to note that the decision has come at a time when the Indian government is trying to achieve greater economic self-reliance, especially with schemes like production linked incentives (PLIs) in the arsenal.
So far, several projects of smartphone makers have been approved under the PLI scheme that aims to make India a production hub. However, consumer electronic brands are now finding themselves in a difficult position, as they are unable to get their products in the country.
Setting up a complete production facility would also mean a big-ticket investment and a lot of patience. In both scenarios, they are at the losing end, at least in the short term.
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