India may consider banning Chinese phones below 12000 Rs.

India may consider banning Chinese phones below ₹12000, Vivo, Oppo, Realme Phones Under ₹12,000 may be banned.

It has been claimed that the government of India is considering excluding Chinese companies from the budget smartphone market. This would prevent Chinese companies from selling smartphones in India for less than 12,000, which would be a significant blow to the Chinese smartphone producers.

According to those acquainted with the situation, the move is being made with the intention of forcing Chinese companies out of the lowest part of the world’s second-biggest mobile market.

They claimed it correlates with a growing concern about high-volume brands such as Realme and Transsion undercutting local makers, but they asked not to be identified since they were discussing a sensitive issue.

The move might force Chinese smartphone manufacturers “out of the lower section of the world’s second-biggest mobile market,” according to a report that cited persons familiar with the situation as its sources.

According to a report by Counterpoint Research, smartphones with prices lower than 12,000 rupees were responsible for a quarter of India’s smartphone shipments in the most recent quarter. Eighty per cent of these lower-priced smartphones were manufactured in China by companies such as Xiaomi, Realme, and Vivo.

India may ban Chinese phones under Rs 12,000

Companies such as Micromax and Lava, which haven’t been able to offer similar features as the Chinese smartphone producers, will profit from this move as a result of their ability to compete. However, this may come as disappointing information for customers, as they will most likely have to pay higher prices or make do with devices of lower quality as a result of the lack of competition in the market.

Chinese-Smartphones-Ban

Last week, Finance Minister Nirmala Sitharaman informed Rajya Sabha that OPPO India, Xiaomi India, and Vivo India had been sent notices for duty evasion by the DRI.

Based on the findings of an inquiry carried out by the DRI, OPPO Mobiles India Ltd. has been issued a show-cause notice with a demand for Rs 4,403,88 crore, and five instances of Customs duty evasion have been recorded against Xiaomi Technology India, according to Sitharaman’s written reply.

Vivo, Oppo, Realme Phones Under ₹12,000 may be banned

Vivo Mobile India Private Ltd. was found to have avoided paying customs duty in the amount of about Rs 2,217 crore by the DRI. In accordance with the mandates of the Customs Act, Vivo India has been served with a show-cause notice that requests the payment of customs duty in the sum of ₹2,217 crore.

Only 80 of the 382 proposals for foreign direct investment (FDI) that were received from Chinese companies by the central government of India since April 2020 have been accepted as of June 29.

After the ED made allegations that Xiaomi had illegally transferred 5,551.27 crores to three different foreign organisations, the agency decided to investigate the business and put it under surveillance.

The Directorate of Revenue Intelligence was looking into allegations that Oppo had avoided paying the appropriate customs duties. The ED also asserted that Vivo had illegally sent nearly $8 billion to its parent firm in China over the course of five years in order to avoid paying taxes on that income.

Join the Discussion