Chinese Mobile Ban: Chinese companies scared of government, reduced production of cheap phones.

Fearing the Indian government, Chinese brands like Xiaomi, Vivo and Oppo have started to distance themselves from the cheap smartphone market. Actually, recently there was news that the government can ban Chinese phones costing less than Rs 12,000 in India. However, after this, the Minister of State for Electronics and Information Technology, Rajiv Chandrashekhar, denied the ban on these phones. But, the impact of the dispute between the Chinese brand and the government is clearly visible on the decision of the companies. Now these Chinese companies themselves have stopped launching phones priced below Rs 10,000.

Let us tell you that along with Chinese companies, South Korean company Samsung has also launched only one phone this year for less than 10 thousand. At the same time, there has been a decrease of about 12 percent in the entry level segment of Xiaomi. According to data from International Data Corporation (IDC), the shares of Xiaomi’s Rs 7,500 segment have come down from 28 per cent to 25 per cent. Whereas the market share of phones under 10 thousand has also declined.

Xiaomi’s market share is now only 35 percent as compared to 84 percent in 2015. Whereas in the 10 to 20 thousand smartphone segment, the company has captured 45 percent, which was only 13 percent in 2015. Let us tell you that till now only 39 smartphones have been launched by these companies in less than 10 thousand price this year, which is much less than 60 phones launched last year.

There was news of shutting down cheap Chinese phones

There was news of action on Chinese mobile companies in India just a few days ago. The report said that Chinese phones priced below Rs 12,000 will be banned in India. This report was released by Bloomberg, it was being said that the government has taken this decision to promote domestic companies like Lava, Micromax.

The government had denied

Recently, the Minister of State for Electronics and Information Technology Rajiv Chandrashekhar had denied the ban on these phones. The Union Minister had said that the government has not yet made any plan to ban these phones of Chinese companies. It is the responsibility and duty of the government to promote the Indian brand. If due to unfair trade practices, there is boycott of Indian smartphone brand, we will intervene and resolve.