India flexible towards tie up between domestic and Chinese electronics firms: Govt sources

The comment comes amid government approvals for joint ventures involving Indian electronics manufacturer Dixon Technologies and Chinese entities
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India is demonstrating a flexible approach towards collaborations between domestic and Chinese companies, particularly in the electronics manufacturing sectors, a government source confirmed on Friday. This stance acknowledges China’s significant role in global electronics production.

The official’s comments came in response to inquiries regarding government approvals for joint ventures involving Indian electronics manufacturer Dixon Technologies and Chinese entities.

“Circumstances are easing between India and China; there are discernible signals,” the official stated, citing the recent resumption of tourist visas as an indicator. The official emphasised the practicality of engaging with China, and noted, “Approximately 60 per cent of global electronics manufacturing happens in China, making some form of collaboration essential.”

Dixon & Longcheer

Dixon Technologies recently secured the approval of the Ministry of Electronics and Information Technology (MeitY) for a prospective joint venture with Chinese peer Longcheer.

According to a company statement, the approved structure for the joint venture will ensure that Dixon Technologies holds 74 per cent of the total paid-up share capital, with Longcheer holding the remaining 26 per cent. This arrangement will see Dixtel Infocom Private Ltd, currently a wholly-owned subsidiary of Dixon, transform into the prospective joint venture company upon the effective closing date of definitive agreements.

Dixon Technologies has also entered into separate agreements with other Chinese electronic component firms: Chongqing Yuhai Precision Manufacturing and the Indian subsidiary of Kunshan Q Technology. These agreements focus on the manufacturing and sales of electronic components crucial for devices such as mobile phones and laptops. Furthermore, a joint venture between Dixon Technologies and Chinese smart device manufacturer Vivo is reportedly in progress.

Published on July 25, 2025

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