Vietnam is currently Samsung’s main production hub, where it makes around 60% of the 220 million smartphones it sells each year. Many of these phones go to the US, which is Samsung’s second-biggest market. But rising trade tensions and the risk of new tariffs have pushed Samsung to look at India as a safer option compared to Vietnam to serve global markets.
Samsung will reportedly move part of production from Vietnam to India
And so, Samsung is thinking about moving part of its smartphone and electronics production from Vietnam to India, according to Moneycontrol. The company looks to avoid possible US tariffs on Vietnamese exports. According to sources cited by publication, Samsung has started early discussions with Indian contract manufacturers like Bhagwati (Micromax) and Dixon. This follows a previous report suggesting the same.
Samsung already has large factories in Noida and Chennai, where it makes smartphones and home electronics like TVs. It also works with Indian companies such as Dixon to manufacture some models. The company could now increase production at these facilities or ask its local partners to make more devices, especially for export.
In 2024, Samsung produced about 60 million phones through outside partners like Huaqin, Wingtech, and Longcheer. Shanghai-based Huaqin recently partnered with Micromax and is currently making entry-level models for other brands like Vivo and Oppo. Sources say this joint venture is also in talks with Samsung for future projects. Similarly, Longcheer works with Dixon and already makes phones for Samsung.
Industry experts, per report, say more tech brands are showing interest in India. Not just for smartphone assembly but also for making bigger electronics, thanks to government support and improving infrastructure. Samsung has also been part of India’s PLI scheme and is now eligible to receive over INR 1,000 crore in incentives.
While the US had earlier announced steep tariffs, 6% on Vietnam and 26% on India, President Trump recently gave a 90-day pause on some of these. India, however, remains in a better position as it pushes ahead with trade talks with the US.
