SMM4, March 17: with the spread of the epidemic in the world, consumer goods in various countries have been greatly affected, at the same time, this impact has also extended to the entire industrial chain. With the closure of about 150 automobile factories around the world, the suspension of the consumer goods manufacturing industry has brought great pressure on the global economy. In addition to cars, mobile phones, as the main force in consumer goods, have also had a significant impact on promoting economic development. After the outbreak, the mobile phone industry chain also entered a state of stagnation.

The outbreak did not bypass India. Indian Prime Minister Narendra Modi delivered a televised speech on March 24, announcing the implementation of a 21-day nationwide closure from midnight that day to curb the spread of the new crown pneumonia epidemic. This policy has affected the normal operation of all walks of life in India. Subsequently, Samsung, OPPO, vivo, Xiaomi, Hon Hai and other mobile phone manufacturers closed their factories in India.

India's national closure policy has had a big impact on mobile phone sales, with India's blockade reducing shipments of the Indian mobile phone market by nearly 60 per cent, and the smartphone industry is expected to lose about $2 billion in revenue, according to Counterpoint Research, a market research firm. Many of these manufacturers are from China. Meanwhile, global smartphone sales fell 14 per cent in February as a global pandemic of the new coronavirus, according to a new, Counterpoint Research report.

It is reported that since the emergence of the closure policy, a number of Chinese manufacturers have made requests to the Indian government to list mobile phones as "important items" and allow manufacturers to deliver mobile phones to users through e-commerce channels.

India's smartphone market grew slightly in 2019, with total shipments of 152.5 million units, up 8 per cent from a year earlier, according to IDC. India also became the second largest smartphone market after China in 2019 and is once again ahead of the United States. According to the report, the top five smartphone shipments in India in 2019 were Xiaomi, Samsung, vivo, OPPO and realme, with shipments of 43.6 million, 31 million, 23.8 million, 16.3 million and 16.2 million respectively.

India is the world's second-largest mobile phone maker after China, and the shutdown of mobile phone factories could have an impact on the supply chain in the second quarter. If the epidemic gets out of control, China's high-end mobile phone industry chain could be hit hard.

In 2019, about 71 million domestic lithium batteries / packs were exported to India, accounting for about 5.4 per cent of total exports, according to customs network data. According to SMM customer feedback, exports from lithium cobalt battery plants may have fallen by about 30 per cent in May, so demand for lithium cobalt is also expected to decline and orders from some lithium cobalt material plants are expected to decline.