Amid rising US tariff concerns, Samsung may shift more smartphone production to India, increasing its role as a global export hub and rivalling Vietnam’s dominance.
Samsung is reportedly evaluating a plan to increase smartphone production in India for the US market. This comes as trade policy uncertainty under US President Donald Trump’s raises the risk of new import tariffs.
According to The Economic Times, this reassessment reflects a broader shift in global manufacturing, with India’s importance increasing as a reliable alternative to traditional export hubs.
If Samsung proceeds, it would follow a path similar to Apple, which has expanded its Indian manufacturing footprint in recent years to serve global markets.
Won-Joon Choi, Samsung’s Global President and COO of Mobile Experience, noted during the recent launch of the Galaxy Fold7 and Flip7 that the company had built a flexible global production network.
He indicated that, in light of the uncertain trade environment, Samsung was ready to meet US market demand from multiple locations, including its manufacturing facility in India.
Samsung’s plant in Greater Noida, Uttar Pradesh, primarily serves the domestic market but has already started producing some units for US customers.
In contrast, the company’s Vietnamese facilities remain a core export base; one that could become less viable if the US imposes steep tariffs on imports from Vietnam, potentially as high as 20%.
To manage this risk, Samsung has developed contingency plans to switch production between facilities swiftly. Choi confirmed that the necessary equipment, certifications, and supply chains are already in place in India to support this shift if needed.
India, meanwhile, has been urging the US to lower duties on electronics, aiming to capitalise on its growing manufacturing base.
On supply chain resilience, particularly regarding rare earth materials, Choi stated that Samsung had diversified its sources across multiple countries, ensuring continuity even amid export restrictions from China.
If trade tensions escalate, Samsung’s expanded reliance on India could further solidify the country’s status as a critical player in the global electronics manufacturing landscape.
