NEW DELHI : India may face a shortage of components for smartphones and electronic devices in July-September because of covid-led disruptions in manufacturing activity in China’s electronics hubs such as Shanghai and Shenzen, which in turn, will impact sales in the festive months of October-December.
The resurgence of covid cases in many Chinese cities, including major electronics manufacturing hubs, have led to reduced output and supply constraints, besides creating port congestion, which is bound to create downstream supply chain challenges and hurt production in India, according to analysts tracking the sector. “There is significant potential for China’s ongoing pandemic crisis to rattle supply chains and cause a pandemic redux yet again.
As such, with the ongoing supply-side shortages and spike in prices, smartphone brands in India will potentially see significant challenges in the immediate future," said Prabhu Ram, head of industry intelligence group, CyberMedia Research. “It is indeed a matter of concern.
For the festive season to remain unscathed, the situation in Shenzen and Shanghai must be sorted out latest by June-end," said Faisal Kawoosa, founder at research firm TechArc.