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Xiaomi has been banned from selling smartphones under $150 in India. Why?

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Xiaomi has been banned from selling smartphones under $150 in India. Why?

Quite strange, at first glance, the law was adopted by the Indian authorities. The country banned Chinese companies from selling smartphones under $150. This step was prompted by the government’s desire to support its own producers. Now Indian companies cannot compete with brands like Xiaomi and Realme, which offer devices with good technical characteristics at low prices.

It should be understood that India, although developing, is still a very poor country, so most of the population cannot afford expensive smartphones. This is perfectly demonstrated by statistics – in the second quarter of 2022, devices cheaper than $150 accounted for a third of all sales. 80% of this third are smartphones from well-known Chinese brands: Xiaomi, vivo, OPPO and realme.

Check:  Millions of old Samsung Galaxy smartphones have a defective battery.

This is not the first action by the Indian authorities against the technological expansion of China. After the border conflict in 2020, relations between the countries escalated, India began to actively put spokes in the wheels of Chinese companies, ban their games and mobile applications.

The Chinese will suffer tangible economic losses from the new law. After all, India is currently the most populated country in the world with a huge market. And it is unlikely that Chinese companies will want to give it up so easily.

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