India has experienced a significant upsurge in smartphone exports this fiscal year, with the value of devices exported attempting $2.43 billion, predominantly driven by a skyrocketing demand from the U.S. market. Official government data depicts a titanic leap in exports to the U.S. market, tallying $812.49 million within the first two months of fiscal year 2023. This signals a substantial rise when compared to the same period (specifically April and May) of the previous fiscal year, which reported a far more modest sum of $92.2 million.

As a result of this sharp increase, the U.S. now boasts the accolade of being the primary destination for smartphones produced in India. In fact, it now accounts for approximately one-third of the total exports in terms of monetary value, however, the U.S. isn’t the only nation displaying a burgeoning demand for smartphones from India. The UAE, for instance, imported devices worth $484.52 million, followed by the Netherlands at $205 million.

Furthermore, the U.K., Italy, and the Czech Republic have also demonstrated high demand, importing smartphones worth $151.33 million, $136.57 million, and $115.5 million respectively. On the whole, during the fiscal year 2022-23, the total value of exported smartphones from India reached a substantial $10.95 billion. Additionally, within April and May of fiscal year 2023-24, the value of exports shot up by a whopping 157.82%, compared to the same period in the preceding year.

Prior to the fiscal year 2022-23, smartphone exports were practically non-existent and thus, no relevant data was collected. However, with the initiation of the Product Linked Incentives (PLI) scheme combined with the U.S.-based iPhone producer, Apple, beginning to manufacture domestically, India is steadily gaining recognition as a crucial production hub for smartphones.

For diamond exports too, the U.S. reigns as the dominant market, even though growth has dipped about 23%, purchasing diamonds worth $1.3 billion in a span of two months. Regarding electronic goods production for domestic demand and export, India purchased monolithic integrated circuits worth $1.85 billion. China was the major supplier of these circuits, exporting $597.89 million, followed by Ireland, Hong Kong, Taiwan, and Singapore. Back in 2022-23, the Indian import of integrated circuits totaled $10.23 billion. Clearly, India is showing strong signs of thriving as an electronic goods manufacturing hub.