OnePlus expands India manufacturing, eyes exports amid shifting global trade
What's the story
OnePlus is doubling down on India by ramping up local production and forging new partnerships.
The company's founder, Pete Lau, recently told Moneycontrol that they are working to strengthen the domestic component ecosystem and focus on smartphone exports as production ramps up.
This is part of Project Starlight, under which OnePlus has committed ₹6,000 crore by 2027 for local R&D and retail expansion.
Strategic partnerships
Collaboration with component suppliers to enhance manufacturing
OnePlus is working with component suppliers to enhance manufacturing efficiency as part of the Indian government's ₹22,919 crore incentive scheme.
Lau said, "We are currently focused on strengthening as well as expanding our local manufacturing capabilities in India, and for this, we are also tying up with partners who can meet the demands of the Indian market while also ensuring global standards."
Trade challenges
Export ambitions amid US trade developments
OnePlus's export plans hold importance in light of recent trade developments.
The brand had initiated limited smartphone exports to the US in 2019 but stopped them soon after.
Today, OnePlus smartphones are produced by its parent company, OPPO, at a facility in Greater Noida.
Lau confirmed they have already started the investment cycle with efforts like the Green-Line Worry-Free solution, providing lifetime warranties on OnePlus products against green-line and display-related issues.
Competitive edge
Strategy to enhance product competitiveness in India
Lau, who also serves as a senior leader at OPPO, said the brand will use its parent company's technology and resources to enhance product competitiveness in the Indian market.
He said, "The collaboration between OnePlus and OPPO is strategic and comprehensive... The two brands share resources in technology R&D, supply chain management, and marketing to enhance product design and innovation for our OnePlus community jointly."
Market strategy
Premium segment and market expansion
OnePlus is also looking to expand its share in the premium segment, where it has lost a lot of market share to Apple and Samsung.
Lau confirmed that OnePlus did well across price segments during Diwali 2024.
The brand plans to bring enhanced AI features across its flagships as well as the mid-range Nord series as part of this strategy.
IoT expansion
Renewed focus on IoT segment and retail partnerships
OnePlus is refocusing on the IoT segment with plans to introduce new smart products in India later this year.
Lau said, "We will also continue to invest in our ecosystem products, and in the coming quarters, we will invest in our smartwatches, earbuds, and tablet lineup."
The company is also bolstering its partnerships with major retailers such as Reliance, Croma, and Vijay Sales to expand its offline retail presence.