Reliable
sources said that the Indian government wants to put a check on the Chinese
companies that are ruling the Indian smartphone market. They said that the
government is planning to impose restrictions on Chinese companies such as
Xiaomi, Oppo, Realme, Vivo etc. from selling budget smartphones priced below
Rs.12,000 in the country. The purpose of this proposal is to increase market
opportunities for domestic mobile brands. Chinese companies dominate our budget
and premium smartphone market. Apart from Samsung, among the top-5 companies in
terms of market share, the other four are Chinese.
It is
noteworthy that there is no domestic brand at least in the top 10. Banning
budget smartphone sales will have a huge impact on Chinese companies,
especially Xiaomi. According to a report by market tracking company
Counterpoint, mobiles priced under Rs 12,000 accounted for a third of India's
smartphone sales for the quarter ended June. 80 percent of it is owned by
Chinese companies. The central government is trying to reduce the survival of
Chinese companies as much as possible in the Indian telecom sector. The
government has not given permission to Chinese telecom equipment manufacturers
Huawei and ZTE for domestic 5G operations.
The
government has asked domestic telecom companies to make alternative
arrangements for 5G network gears. Moreover, China mobile companies in the
country focused on financial activities and transactions with parent companies.
In December last year, the Income Tax (IT) department also conducted searches
on the premises of Oppo as well as other Chinese smartphone companies. On that
occasion, the IT officials found that Chinese companies were involved in
massive tax evasion. The Department of Revenue Intelligence (DRI) and
Enforcement Directorate (ED) is also investigating these companies. Moreover,
our government has also banned more than 300 Chinese apps including TikTok and
WeChat.
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