India’s Smartphone Exports to US Rose 148% in August Despite Slowdown Concerns

India’s smartphone exports rose sharply in August 2025 despite reports suggesting otherwise, according to fresh data released by the India Cellular & Electronics Association (ICEA). The industry body said month-over-month comparisons without sector-specific context have led to “flawed inferences,” stressing that exports must be viewed across similar periods of different fiscals to draw meaningful trends.

Exports Show Double-Digit Growth

Contrary to claims of a slowdown, smartphone exports in August 2025 grew 39% year-on-year, reaching $1.53 billion from $1.09 billion in August 2024. Exports to the US more than doubled, rising 148% from $388 million to $965 million in the same period.

Between April and August 2025, India shipped $8.43 billion worth of smartphones to the US, almost 80% of the entire FY25 figure of $10.56 billion. Overall, exports in the first five months of FY26 stood at ₹1 lakh crore (around $11.7 billion), a 55% increase compared to the same period last year.

“Every export sector has its particular nuances. Oversimplification of trade data, and worse, inferences based on monthly comparisons, is misleading and avoidable,” said Pankaj Mohindroo, Chairman, ICEA.

Why August-September Exports Dip Seasonally

ICEA noted that August and early September are historically the lowest months for smartphone exports. The reasons include:
    •    New product cycles: Global customers delay purchases ahead of fresh model launches in late September and October, while demand for older models also slows until discounts kick in.
    •    Production adjustments: Plants undergo retrofitting for new models, temporarily reducing output.
    •    Domestic festival demand: Companies divert production to serve India’s festive season in September-October, before exports pick up again with global holiday sales in the West.

Smartphones Now India’s Top Export by HS Code

Over the past five years, smartphones have emerged as India’s strongest export category. The sector moved from the 167th position in FY15 to becoming the largest export by HS code in FY25, buoyed by the Production-Linked Incentive (PLI) scheme and global supply chain shifts.

With exports crossing record levels, ICEA underlined that India’s electronics manufacturing is at an “inflection point,” supported by government policies, tariff rationalisation, and growing trust from global brands.

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