NEW DELHI : Lockdown in China’s tech hub of Shenzhen following a fresh surge of coronavirus cases may inflate prices of televisions, laptops and smartphones, given that the region is one of the largest suppliers of electronics products worldwide.
Around 20-50% of India’s supply of electronic components come from China with Shenzhen accounting for a large share of it, said Navkendar Singh, research director at the International Data Corporation (IDC). “If we see another round of disruptions or the expected easing-off doesn’t happen, we will certainly see price hikes across brands.
And no, most won’t be able to absorb the hike; it will be passed on to the consumer," he added. Singh said that if the lockdown in Shenzhen city crosses three weeks or more, it will impact shipments of smartphones and personal computers in the latter half of the June quarter as well as the September quarter.
Tarun Pathak, research director at Counterpoint Research, corroborated that prices will start to increase if the lockdown extends beyond 20 March.