From Nasdaq:

India is considering import duty cuts on components essential for producing high-end mobile phones. This will benefit companies like Apple and boost India’s exports, as requested by sector companies. The electronics and information technology ministry is finalizing the proposal and hopes to include it in the Feb. 1 budget.

The duty cuts decision will be made by the finance ministry. Import duties on components like camera modules and chargers currently range from 2.5% to 20% and are the highest among six comparable manufacturing nations. Without the duty cuts, mobile phone export growth in India could slow down.

Mobile phone exports in India, except Apple, doubled to $11.1 billion in the last fiscal year. The industry expects exports to rise to $15 billion in the 2023/24 fiscal year. Samsung and Xiaomi are other mobile phone exporters in India. Apple is looking to expand its manufacturing in India.

India’s trade minister had previously stated that Apple wants to increase its manufacturing in India to 25% of its global total. The finance minister previously eliminated a 2.5% customs duty on select parts of mobile camera phones to boost high-end mobile phone assembly in India.

India’s trade department is also seeking import duty cuts on a variety of items including engineering goods and inputs for garment production, as mentioned by a third government official. The department for the promotion of industry and internal trade did not respond to a request for comment.



Read more: India eyes import duty cuts on mobile phone parts, sources say