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Xiaomi – Smartphone prices increased in India due to poor supply chain

Henry Romero by Henry Romero
July 2, 2021
in Xiaomi
0
Xiaomi – Smartphone prices increased in India due to poor supply chain

Xiaomi – Smartphone prices increased in India due to poor supply chain

The latest news happening in India is that consumer electronics prices have increased due to the shortage of supply and increase in demand. We all know that since the pandemic affected our lives, the global supply chain has been disrupted severely, and the productions of many major tech giants have been on hold.

Recently, many electronic manufacturers in India have increased the prices of their affordable products. Even Chinese firms, such as Xiaomi, Realme, Tecno, and Oppo, known for their budget 4G smartphones, have increased their prices.

According to experts, the prices of smartphones in India could go up by ₹100-1,000, with the indication being that Xiaomi will expectedly increase 3-6% of its TVs prices from 1 July. Recently, the Mumbai-based Mahesh Telecom stated that Oppo had announced a price hike of ₹500-1,000 for Oppo A11, A15, A15s, and A53s models. Another major brand, Realme, increased its C11, C20, and C25s models by ₹200 to ₹500.

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“The bill of materials (BOM) cost of devices will increase, so this will be an industry norm, Since the last one year, we witnessed shortages across the supply chain. Due to massive demand-supply mismatch, the majority of components used in smartphones, Smart TVs, and other electronic gadgets (chipsets, display panels, display driver, back panels, battery, etc.) have seen constant upward movement in prices.

“This, coupled with an unprecedented increase in shipping charges, affected almost all technology players, including us. While we riled to absorb the increasing costs, some of our products have witnessed a price hike.”

Prachi Singh, a senior research analyst at Counterpoint Research, stated that the price hike was expected for a while since there was the impending crisis of supply chain disruption which the industry and the country were not able to handle. “Component shortage hasn’t just been increasing for the India market, but globally as well. I think other brands will also follow, but the quantum (of price change) will differ across brands.”

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[Xiaomi – Smartphone prices increased in India due to poor supply chain

Tags: Xiaomi

Henry Romero

Henry Romero

Henry covering technology and reviewing consumer products. Previously he was the Tech editor at ICO Stamp steering coverage and reviews of Tech Products. He graduated from London School with a bachelor's degree in English and journalism.

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