Impact of China’s Export Curbs on India’s Electronics Sector

Electronic devices and appliances are experiencing price hikes due to Chinese curbs on rare earth magnets and AI-related demand. The industry anticipates further price increases of 10-25% in the short to medium term. Ashok Chandak, President of India Electronics and Semiconductor Association (IESA), highlights the effects of China’s export restrictions on India’s electronics manufacturing sector. China’s export curbs on rare earth minerals and magnets, coupled with investment restrictions, have led to scarcity of inputs crucial for manufacturing in India. Products such as speakers, microphones, motors, camera actuators, and power electronics are significantly impacted.