Motorola plans to nearly double its smartphone manufacturing in India, aiming to increase annual output from 13 million to 23-30 million units in the next fiscal year. This expansion is driven by India’s Production Linked Incentive (PLI) scheme and aims to reinforce the country’s role as a global manufacturing hub. A significant portion of the increased production will be exported, particularly to the US.
Motorola’s partner, Dixon Technologies, reported robust growth, with monthly production surpassing 1 million units. While Motorola currently exports 2.2 million units to North America, this number is expected to rise significantly. However, US tariffs on Indian imports, set to take effect in April, may impact these plans. If a 16.5% tariff is imposed, Motorola may scale down production and shift some operations to Vietnam. The success of this strategy depends on ongoing trade negotiations and tariff policies.
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