On March 12th, reports from Indian media indicate that, in a bid to alleviate long-standing tensions, the Indian government has presented stringent demands to Chinese smartphone manufacturers like Xiaomi, Vivo, and OPPO, requiring them to get three key aspects right.
According to the reports, the first requirement is for Chinese smartphone manufacturers to appoint Indian nationals to key managerial positions in their local subsidiaries. While Xiaomi has already appointed an Indian manager, there have been no similar actions from OPPO and Vivo.
Furthermore, industry insiders suggest that despite Xiaomi's appointment of a foreign manager, decision-making still primarily rests with the Chinese management.
The second demand entails a greater involvement of Indian distributors in local sales processes. Reports indicate that starting from April, Vivo plans to replace its Chinese agents in New Delhi, Punjab, and Haryana with Indian distributors.
Thirdly, Chinese companies are urged to engage in collaborative smartphone production ventures with local firms. It's reported that OPPO, Vivo, Xiaomi, among others, are either in discussions or finalizing partnerships with indigenous electronics manufacturers like Dixon and Karbonn.
As early as June last year, the Indian government had already put forth several demands for Chinese smartphone manufacturers operating in India, including the requirement for Indian nationals to hold key positions such as CEO, CFO, COO, and CTO within the companies.
