China's Xiaomi Corp and Oppo are importing some smartphone models into India as their local plants struggle to get back to production levels needed to meet demand that built up during lockdown, sources familiar with matter said. 
The move is a costly one as the world`s second-largest smartphone market imposes steep tariffs on imports of devices and components - part of Prime Minister Narendra Modi`s push to boost manufacturing in India. Most foreign brands in India make nearly all of their smartphones locally.

It also underscores the challenges India faces in kick-starting production as new coronavirus cases soar to nearly 300,000 while more than 8,000 people have died.

Manufacturing facilities in India have been allowed since May to resume operations but several smartphone plants are still grappling with labour shortages, three sources told Reuters.

<a href="https://www.wionews.com/technology/zoom-shuts-account-of-us-based-chinese-dissidents-after-tiananmen-anniversary-meeting-304999">Also read:&nbsp;Zoom shuts account of US-based Chinese dissidents after Tiananmen anniversary meeting</a>

At the same time, demand is high because phones - not deemed essential goods by the government - were not allowed to be sold during the nationwide lockdown of nearly two months.

The bulk of the Xiaomi smartphones sold in India are made by contract manufacturer Foxconn in the southern states of Tamil Nadu and Andhra Pradesh, while Oppo assembles its India-made phones at a plant on the outskirts of New Delhi.

It was not immediately clear how many phones the Chinese brands are now importing, the sources added, declining to be identified as they were not authorised to discuss the matter with media.

<a href="https://www.wionews.com/india-news/apple-rolls-out-cheaper-iphone-as-pandemic-curbs-spending-292856">Also read:&nbsp;Apple rolls out cheaper iPhone as pandemic curbs spending</a>

"This is purely to take care of the demand that is there and the fact that they (Xiaomi) are not able to produce to meet demand," one of the sources said, adding the imports were a short-term measure until production and distribution gets back to normal.

Xiaomi did not respond to a request for comment and Foxconn declined to comment.

Oppo`s plant, which also makes phones for the OnePlus and Realme brands owned by common parent BBK Electronics, reopened with reduced staffing on May 7. But it had to close again for more than a week after several workers tested positive for the coronavirus.

In a few instances, staff at Oppo and other smartphone plants have either resigned or not shown up for work for fear of contracting the virus on assembly lines where people work closely, sources said.

"My father said if you live, you`ll find another job," one worker who recently resigned from the Oppo factory told Reuters, asking not to be named.

Oppo India declined to comment.

The production woes have meant delays to sales plans.

OnePlus, which competes with Apple Inc in India`s $400-plus smartphone segment, has had to stagger sales of its latest model on Amazon`s India website.

Realme said in an emailed statement it has been challenging to meet market demand due to supply chain disruptions and "limited production capabilities".

It added it would not risk the health of factory workers by ramping up production quickly and that it expected to be at normal manufacturing capacity by the end of July.

China's Xiaomi Corp and Oppo are importing some smartphone models into India as their local plants struggle to get back to production levels needed to meet demand that built up during lockdown, sources familiar with matter said.

China's Xiaomi Corp and Oppo are importing some smartphone models into India as their local plants struggle to get back to production levels needed to meet demand that built up during lockdown, sources familiar with matter said. The move is a costly one as the world`s second-largest smartphone market imposes steep tariffs on imports of devices and components - part of Prime Minister Narendra Modi`s push to boost manufacturing in India. Most foreign brands in India make nearly all of their smartphones locally. It also underscores the challenges India faces in kick-starting production as new coronavirus cases soar to nearly 300,000 while more than 8,000 people have died. Manufacturing facilities in India have been allowed since May to resume operations but several smartphone plants are still grappling with labour shortages, three sources told Reuters. Also read: Zoom shuts account of US-based Chinese dissidents after Tiananmen anniversary meeting At the same time, demand is high because phones - not deemed essential goods by the government - were not allowed to be sold during the nationwide lockdown of nearly two months. The bulk of the Xiaomi smartphones sold in India are made by contract manufacturer Foxconn in the southern states of Tamil Nadu and Andhra Pradesh, while Oppo assembles its India-made phones at a plant on the outskirts of New Delhi. It was not immediately clear how many phones the Chinese brands are now importing, the sources added, declining to be identified as they were not authorised to discuss the matter with media. Also read: Apple rolls out cheaper iPhone as pandemic curbs spending "This is purely to take care of the demand that is there and the fact that they (Xiaomi) are not able to produce to meet demand," one of the sources said, adding the imports were a short-term measure until production and distribution gets back to normal. Xiaomi did not respond to a request for comment and Foxconn declined to comment. Oppo`s plant, which also makes phones for the OnePlus and Realme brands owned by common parent BBK Electronics, reopened with reduced staffing on May 7. But it had to close again for more than a week after several workers tested positive for the coronavirus. In a few instances, staff at Oppo and other smartphone plants have either resigned or not shown up for work for fear of contracting the virus on assembly lines where people work closely, sources said. "My father said if you live, you`ll find another job," one worker who recently resigned from the Oppo factory told Reuters, asking not to be named. Oppo India declined to comment. The production woes have meant delays to sales plans. OnePlus, which competes with Apple Inc in India`s $400-plus smartphone segment, has had to stagger sales of its latest model on Amazon`s India website. Realme said in an emailed statement it has been challenging to meet market demand due to supply chain disruptions and "limited production capabilities". It added it would not risk the health of factory workers by ramping up production quickly and that it expected to be at normal manufacturing capacity by the end of July.

China's Xiaomi, Oppo turn to expensive smartphone imports for India market as plants struggle: sources

With its army of salespeople and a vast network of outlets, a relatively new smartphone maker has exploded in popularity to overtake global giants Apple and Samsung in China&#39;s market. It has its eye on the West, now.

 
Oppo began life selling DVD players in the southern manufacturing hub of Dongguan a little more than a decade ago and only broke into the handset market in 2011. It did not only rely only upon online customers and held an aggressive marketing strategy, concentrated on bricks and mortar store even in small and medium-sized cities soaring up the sales.&nbsp;

 
Last year it had a market share of 16.8 per cent making it the China market leader and even with a slip in the first three months of 2017. &nbsp;It was put just behind local rival Huawei. According to market analyst IDC, it remains well ahead of Apple and Samsung.

 
Globally it ranks fourth behind Samsung, Apple, and Huawei.

 
While its rivals focus on the premium end of the smartphone market in major cities and online, Oppo makes relatively cheap devices. Its latest model is less than half the price of an iPhone 7. Oppo also sells them in actual shops. It has 200,000 outlets across China. Less than 10 per cent of its purchases is made online, while retailers are offered generous commissions in exchange for promoting the brand. 
&quot;In small cities, consumers unfamiliar with smartphones need to see and touch the devices and to have salespeople there to help them,&quot; said Yi Jun, Oppo&#39;s international sales director.

 
At the company&#39;s factory in Guangdong province, Oppo handsets are submitted to a series of durability tests including one-metre drops and temperature changes ranging from -40 degrees Celsius to 85 degrees Celsius. 
&quot;Technology is essential for meeting consumers&#39; expectations,&quot; Yi said, pointing to Oppo&#39;s fast-charging ability, high-definition camera lens, and sleek design.

 
Now Oppo&#39;s rivals are starting to follow suit. Chinese brand Xiaomi, which lost significant market share in 2016, has been relying on the web for sales of its top of the range smartphones. But in February it announced plans to go back to old-fashioned selling techniques with plans to open 1,000 stores by 2020 in the hope of reversing its fortunes.

 
As competitors play catch up, analysts warn Oppo to must maintain its momentum to stay on or near the top. It needs to continue expanding its sales network and offering competitive products, said Mo Jia, an analyst at technology research firm Canalys.

 
Oppo has also been boosting its sales abroad, including emerging markets in Southeast Asia where its share more than doubled to 13.2 per cent last year. This is by far the biggest increase among its rivals, IDC data shows. 
In India, it was the fourth-biggest player in the fourth quarter, with 8.6 per cent market share, behind Samsung, Xiaomi and Lenovo.

 
&quot;Its success in these countries comes from frantic marketing,&quot; said IDC analyst Tay Xiaohan, noting the use of local celebrities as &quot;brand ambassadors&quot; as it targets millennials. 
It is also starting to back high-profile sports teams to increase brand awareness. Earlier this year it forked out more than USD 160 million to become an official sponsor of the Indian cricket side.

 
And Oppo is adapting its products to satisfy the &quot;selfie&quot; trend. &quot;We noticed the craze in Southeast Asia for group selfies and tailored our devices accordingly,&quot; Yi said, referring to special camera features that enable users to take better self-portraits. He added &nbsp;&quot;We are very interested in entering the US and European markets, we are working on it... But without a precise timeline&quot;.

 
While Huawei has managed to make a name for itself in US and European smartphone markets, it was already very present in those places as a telecom equipment manufacturer, said Annette Zimmermann, an analyst with technology research company Gartner. 
And Oppo&#39;s direct sales strategy might not be as successful in markets dominated by mobile network operators that provide handsets with their contracts.

&nbsp;

Oppo is enhancing its products to satisfy the "selfie" trend

With its army of salespeople and a vast network of outlets, a relatively new smartphone maker has exploded in popularity to overtake global giants Apple and Samsung in China's market. It has its eye on the West, now. Oppo began life selling DVD players in the southern manufacturing hub of Dongguan a little more than a decade ago and only broke into the handset market in 2011. It did not only rely only upon online customers and held an aggressive marketing strategy, concentrated on bricks and mortar store even in small and medium-sized cities soaring up the sales. Last year it had a market share of 16.8 per cent making it the China market leader and even with a slip in the first three months of 2017. It was put just behind local rival Huawei. According to market analyst IDC, it remains well ahead of Apple and Samsung. Globally it ranks fourth behind Samsung, Apple, and Huawei. While its rivals focus on the premium end of the smartphone market in major cities and online, Oppo makes relatively cheap devices. Its latest model is less than half the price of an iPhone 7. Oppo also sells them in actual shops. It has 200,000 outlets across China. Less than 10 per cent of its purchases is made online, while retailers are offered generous commissions in exchange for promoting the brand. "In small cities, consumers unfamiliar with smartphones need to see and touch the devices and to have salespeople there to help them," said Yi Jun, Oppo's international sales director. At the company's factory in Guangdong province, Oppo handsets are submitted to a series of durability tests including one-metre drops and temperature changes ranging from -40 degrees Celsius to 85 degrees Celsius. "Technology is essential for meeting consumers' expectations," Yi said, pointing to Oppo's fast-charging ability, high-definition camera lens, and sleek design. Now Oppo's rivals are starting to follow suit. Chinese brand Xiaomi, which lost significant market share in 2016, has been relying on the web for sales of its top of the range smartphones. But in February it announced plans to go back to old-fashioned selling techniques with plans to open 1,000 stores by 2020 in the hope of reversing its fortunes. As competitors play catch up, analysts warn Oppo to must maintain its momentum to stay on or near the top. It needs to continue expanding its sales network and offering competitive products, said Mo Jia, an analyst at technology research firm Canalys. Oppo has also been boosting its sales abroad, including emerging markets in Southeast Asia where its share more than doubled to 13.2 per cent last year. This is by far the biggest increase among its rivals, IDC data shows. In India, it was the fourth-biggest player in the fourth quarter, with 8.6 per cent market share, behind Samsung, Xiaomi and Lenovo. "Its success in these countries comes from frantic marketing," said IDC analyst Tay Xiaohan, noting the use of local celebrities as "brand ambassadors" as it targets millennials. It is also starting to back high-profile sports teams to increase brand awareness. Earlier this year it forked out more than USD 160 million to become an official sponsor of the Indian cricket side. And Oppo is adapting its products to satisfy the "selfie" trend. "We noticed the craze in Southeast Asia for group selfies and tailored our devices accordingly," Yi said, referring to special camera features that enable users to take better self-portraits. He added "We are very interested in entering the US and European markets, we are working on it... But without a precise timeline". While Huawei has managed to make a name for itself in US and European smartphone markets, it was already very present in those places as a telecom equipment manufacturer, said Annette Zimmermann, an analyst with technology research company Gartner. And Oppo's direct sales strategy might not be as successful in markets dominated by mobile network operators that provide handsets with their contracts.

Oppo ready to bang the western market

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China's Xiaomi, Oppo turn to expensive smartphone imports for India market as plants struggle: sources

Oppo ready to bang the western market