India To Limit Laptop Imports, Encouraging Domestic Production

Aiming to energise domestic manufacturing and transform its $8-10 billion IT hardware market, India might restrict laptop and tablet imports from January 2025.

India is reportedly set to impose restrictions on imports of laptops, tablets, and personal computers starting January, aiming to encourage companies like Apple to enhance domestic manufacturing, according to a report by the Economic Times. 

This potential move could significantly impact an industry valued between $8 billion and $10 billion, fundamentally altering the dynamics of India’s IT hardware market, which heavily relies on imports.

The Ministry of Electronics and Information Technology (MeitY) is developing a new import authorisation system that mandates prior approvals for imports.

The Indian government believes it has allowed adequate time for the industry to adjust. Consultations with stakeholders are expected to commence this week, and the restrictions may be delayed if necessary. 

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Last year, a similar import restriction plan was abandoned due to company pushback and lobbying efforts from the United States. Currently, India has been monitoring imports under a system that will expire this year and requires firms to obtain new approvals for imports in the upcoming year.

With two-thirds of Indian demand met through imports—primarily from China—the local IT hardware market is nearly $20 billion, with about $5 billion generated domestically. The government is also considering setting minimum quality standards to eliminate low-quality devices, as existing global treaties limit tariff actions on such products. 

According to the report, this initiative could favour contract manufacturers like Dixon Technologies, who have agreements with global firms to produce devices in India.

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Shubha Mitra
Shubha Mitra
Shubha Mitra is an Assistant Editor at EFY, keenly interested in policies and developments shaping the electronics business.

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