India's Electronics Exports to US 20% Cheaper Than China's: ICEA

According to the industry body ICEA, the export of iPhones, smartphones, tablets, and laptops from India to the U.S. will be 20% less expensive than those sent from China due to the exemptions provided by the Trump administration.

The U.S. government revised its tariff directive to exclude smartphones, tablets, laptops, and various other electronic devices from the new taxes.

"China still has 20% of iPhones, laptops, tablets, and watches. Only reciprocal tariff has been removed for China. India has zero tariffs on iPhones and all smartphones, laptops and tablets exported to the U.S. Vietnam also has zero tariffs on all Samsung and other smartphones, laptops and tablets exported to the U.S. So India and Vietnam are similarly placed on tariffs on these products and both enjoy a 20% tariff advantage over China," ICEA chairman Pankaj Mohindroo said.

As per ICEA, India’s mobile phone exports have reached a record ₹2 lakh crore in 2024-25, marking a 55% increase from the ₹1.29 lakh crore noted in 2023-24.

U.S. Customs and Border Protection indicated that products such as smartphones, laptops, hard drives, flat-panel displays, and certain chips would be eligible for the exemption. Devices utilized for semiconductor production are also excluded. This implies they will not face the existing 145% tariffs imposed on China or the 10% standard tariffs in other regions.

IESA president Ashok Chandak stated that the recent choice by the Trump administration to exclude smartphones, computers, and various electronics from reciprocal tariffs provides a notable – though likely temporary – relief for global tech producers and U.S. consumers.