Dixon Technologies India, responsible for assembling Google's Pixel smartphones, is poised to more than double its revenue in the current fiscal year, fueled by significant growth in local electronics manufacturing, according to a senior executive's comments to Reuters.
The electronics manufacturing sector in India is experiencing a surge as major global companies, including Alphabet's Google and Apple, shift their supply chains away from China.
The growth trajectory for both the sector and Dixon is expected to be exceptionally aggressive in the near future, stated Managing Director Atul Lall on Wednesday.
The contract manufacturer reported a revenue of 177.13 billion rupees ($2.04 billion) for the financial year 2024, which concluded in March, marking a 45% increase compared to the previous year. For the nine months ending December 31, its revenue reached 285.77 billion rupees.
Based in Noida, Dixon also assembles smartphones for brands like China's Xiaomi and Oppo and has expanded into component manufacturing as India aims to provide substantial incentives for producing mobile and laptop parts.
According to brokerage Motilal Oswal, India's electronics manufacturing sector is projected to grow to 6 trillion rupees by fiscal year 2027, up from 1.46 trillion rupees in 2022.
However, the potential imposition of reciprocal tariffs by U.S. President Donald Trump starting in early April could present challenges, with analysts estimating that India's export sectors could face losses of approximately $7 billion annually.
Lall mentioned that Dixon has made significant investments to meet the increasing export demand for electronics and is awaiting further clarification on the matter, as the U.S. has only issued general statements thus far.