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India Could Ban Cheap Chinese Phones

by Cobus van Staden
File image of a shuttered Vivo store in New Delhi, one of several Chinese technology companies that have faced intense regulatory scrutiny from the Indian government. Indranil MUKHERJEE / AFP

The Indian government could push Chinese mobile phone manufacturers out of the lower end of its market, according to a new report by Bloomberg. The possible ban is reportedly aimed at boosting India’s failing domestic phone makers in the lucrative sub-12,000 rupee ($150) sector. 

The move will be a blow to Chinese companies like Xiaomi, RealMe, and Transsion, who make up 80% of sales in the sub-$150 sector. Low-end smartphones occupy a third of all Indian phone sales. The news caused a 3.6% slide in Xiaomi’s share price, which has fallen 35% in 2022, in part due to the ongoing pressure it faces in India.

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