EU Emerging as a Major Market for Indian Smartphones
India’s electronics exports recorded a significant surge in the financial year 2024–25. Exports of electronic products to the European Union (EU) increased by 37%, reaching $11.79 billion. Smartphones accounted for the largest share of this growth, contributing more than 60% of total electronics exports.
Smartphones dominated India’s exports to Europe, followed by engineering goods and petroleum products as other major export categories. However, a notable shift has been observed in the case of iPhone exports. Apple enjoys zero import duty benefits in the EU, similar to the United States. Earlier, iPhones assembled in India were primarily shipped to the Netherlands, from where they were distributed across the EU.
During the period from April to November of FY 2025–26, Apple redirected a significant portion of its India-based shipments toward the United States. As a result, both the volume and value of iPhone exports from India to the EU declined. In contrast, iPhone exports to the US during the same period tripled to $12.7 billion.
Despite the decline in iPhone exports to the EU, electronics companies continue to pursue ambitious expansion plans for the European market. According to Pankaj Mohindroo, Chairman of the Indian Cellular and Electronics Association (ICEA), this shift reflects India’s transition from a domestic production-based model toward export-oriented integration with the global value chain.
The ICEA has outlined plans to increase the business size of all electronics segments—including mobile phones, consumer electronics, and IT hardware—from current levels to over $50 billion by FY 2030–31.
Experts believe that India’s total electronics production could reach $500 billion by 2030–31, significantly enhancing the country’s competitiveness in the global electronics industry.
According to industry analysts, rising exports to the EU will encourage Indian electronics companies to expand manufacturing capacity, generate employment, and boost technology investments. It will also strengthen India’s role in the global supply chain, delivering long-term benefits to the country’s economy.