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India is likely to ban Chinese companies from selling smartphones below Rs 12,000

In another blow to Chinese companies, the Indian government is reported to be considering restricting Chinese smartphone makers from selling phones worth less than Rs 12,000.

Sneha Saha

New DelhiAnd theUpdated: August 9, 2022, 11:08 AM IST

Written by Sneha SahaIn another blow to Chinese companies, the Indian government is reported to be considering restricting Chinese smartphone makers from selling phones worth less than 12,000 rupees, or $150. Maybe the idea is to push homegrown companies like Lava, Micromax, and others. The budget smartphone segment or sub-Rs 15,000 price segment is currently dominated by Chinese smartphone manufacturers with some share taken by Samsung and a few other non-Chinese companies.

According to the report coming from bloomberg, the Government of India plans to push smartphone makers in India. If this move goes into effect, it will obviously affect the sales of brands like Xiaomi, Poco, Realme, and others — companies that have dominated the affordable smartphone segment for the past several years now. According to a Interview reportSmartphones under ₹12,000 contributed to a third of India’s sales volume for the quarter ending June 2022, with Chinese companies accounting for up to 80 percent of these shipments.

Fighting between India and China has been going on for some time now. Some Chinese smartphone companies have come under scrutiny recently. In the past few months, the ED has charged some Chinese companies, including Xiaomi, Vivo, and Oppo, for alleged tax evasion. In fact, the Enforcement Directorate recently froze Vivo’s bank accounts in a money laundering case. The company later urged the authorities to unfreeze the bank accounts so that the company could continue its business in the country.

It should be noted that the Indian government has not yet announced official details on whether they actually plan to ban Chinese phone makers from selling phones below Rs 12,000, and if yes, how do they plan to initiate this move?

Besides smartphone companies, the Indian government has its eyes on Chinese apps as well. The government recently ordered Google and Apple to withdraw the Battlegrounds Mobile India (BGMI) or the Indian version of PUBG Mobile from the Play Store as well as the Apple App Store. BGMI mobile game is no longer available for download in India. Neither the government nor the game developer disclosed why the mobile game was banned in the country. This comes after the Indian government banned hundreds of Chinese apps in 2020, including TikTok, PUBG Mobile, and more.

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