With overall electronics exports at ₹3.3 lakh crore in FY25, mobile phones now account for a dominant share of the segment. | Photo Credit: Shannon Stapleton

Smartphones have emerged as India’s largest export category by value in 2025, marking a decisive shift in the country’s trade composition.

Smartphone exports rose from ₹0.31 lakh crore in 2021 to ₹2.63 lakh crore in 2025, overtaking standard high-speed diesel (₹1.42 lakh crore) and loose polished diamonds (₹1.09 lakh crore), according to the data from the Ministry of Commerce and Industry.

The rise in smartphones has been sharp and sustained. Exports expanded at a compound annual growth rate (CAGR) of 53.45 per cent between 2021 and 2025. Within the electronics basket, smartphones remain the dominant driver, with exports increasing from ₹0.31 lakh crore in 2021 to ₹2.63 lakh crore in 2025.

The production in smartphones has also witnessed a jump from ₹2.22 lakh crore to ₹5.5 lakh crore between FY21 and FY25, at 19.9 per cent CAGR. 

With overall electronics exports at ₹3.3 lakh crore in FY25, mobile phones now account for a dominant share of the segment.

Other electronics categories have grown at a slower pace. Computers and laptops reached ₹4,549 crore in 2025, while microchips and processor chips stood at ₹1,297 crore, highlighting the disproportionate weight of smartphones in the electronics export mix.

A key factor behind this surge has been the rapid scale-up of global smartphone manufacturing in India. As reported by Bloomberg, Apple increased iPhone production in India by 53 per cent in 2025, assembling about 55 million units, up from 36 million a year earlier. India now accounts for roughly 25 per cent of Apple’s global iPhone output.

The shift reflects supply-chain diversification away from China amid US-China trade tensions and tariff-related headwinds. Shipments from China faced pressures in 2025 due to US tariffs, prompting Apple to move a larger share of US-bound production to India. Suppliers including Foxconn Technology Group, Tata Electronics, and Pegatron Corp assemble the latest iPhone models in India for both export and domestic sales.

Production-linked incentives have helped offset structural cost disadvantages, including gaps in logistics and supply-chain depth, even though manufacturing costs remain higher than in China and Vietnam.

With smartphones now leading both the electronics basket and the overall export rankings, India’s trade growth is increasingly being anchored by high-value mobile manufacturing.

Published on March 12, 2026