The surge has been led by Dixon Applied sciences and Bhagwati Merchandise, with Dixon rising as India’s largest smartphone producer in 2025, overtaking Samsung Electronics in total manufacturing volumes.
Additionally Learn: Smartphones emerge as India’s export champions in FY26
Dixon topped the electronics manufacturing companies (EMS) rankings with a 19% market share, clocking an 89% soar in output, pushed by rising orders from world manufacturers reminiscent of Motorola, Realme and Xiaomi. The positive factors mirror a broader shift by smartphone makers in direction of outsourcing manufacturing to specialised companions.
In line with Counterpoint Analysis, Foxconn ranked second with a 16% share, up from 12% a 12 months earlier, largely on the again of export-linked shipments tied to Apple. Samsung, regardless of its scale, slipped to an 18% share from 20% in 2024, weighed down by comparatively modest export progress.
Picture is an AI generated illustration
Bhagwati Merchandise — a three way partnership between Micromax Informatics and Chinese language authentic design producer Huaqin Applied sciences — entered the highest 5 with a 9% share. Its rise has been anchored in manufacturing mandates from Vivo, Oppo and Realme, underlining how Chinese language manufacturers are deepening native partnerships as they recalibrate provide chains.
India’s smartphone manufacturing grew 8% in 2025, with exports surging 28% to account for almost one-third of complete output. Home demand, in contrast, remained largely flat, with gross sales inching up simply 1%.
Dixon With 19% Share Emerges As Largest, Overtakes Samsung, Bhagwati Corners 9%
Analysts say coverage help — together with production-linked incentives (PLI) and relaxed international funding norms — has helped speed up this transition. Abdul Rahman Khan, analysis analyst at Counterpoint Analysis, stated Oppo and Vivo’s outsourcing technique marked a turning level.
Additionally Learn: Smartphone gross sales fall 9% on rising reminiscence costs
“Oppo and Vivo started scaling outsourcing meaningfully round 2024, however volumes ramped up as soon as it did, flowing to home producers like Bhagwati Merchandise,” Khan instructed TOI.
“In case of Bhagwati Merchandise, its partnership with Huaqin, which has a longtime provide chain presence and relations within the business, has additionally labored,” he added.
Heightened scrutiny of international direct funding has additionally nudged Chinese language companies to accomplice with Indian firms via joint ventures to broaden manufacturing domestically.
“The PLI cycle nearing its finish can be triggering a redistribution of volumes,” Khan stated. “We’re seeing a share of that shift in direction of gamers like Dixon Applied sciences as manufacturers recalibrate price and partnership methods.”
Exports are anticipated to stay the first progress engine in 2026, conserving smartphones on the centre of India’s electronics manufacturing push. Nonetheless, analysts warning that dangers persist.
“Close to-term headwinds, reminiscent of disruptions because of the US-Iran battle may influence logistics, whereas sustained will increase in reminiscence costs could create demand-side pressures over the long run,” stated Tarun Pathak, analysis director at Counterpoint Analysis.
