Top foreign brands currently active in India along with their strongest Indian substitutes, arranged sector-wise.
| Sector / Product Category | Leading Foreign Brand(s) in India | Representative Indian Alternative(s) |
|---|---|---|
| Smartphones | Apple iPhone, Samsung Galaxy (S. Korea) | Xiaomi (China) – Indian Alt: Micromax IN, Lava Agni, Karbonn |
| Feature Phones | Nokia (Finland) | Lava, Micromax X-series |
| Laptops / PCs | Dell, HP, Lenovo (USA/China) | Smartron t-book, Notion Ink (limited), iBall |
| Smart-TVs | LG, Samsung, Sony (S. Korea/Japan) | TCL, Vu, Thomson (French brand, but manufactured by Indian partners) – Indian Alt: Onida, Intex, Kodak (Indian OEM) |
| Consumer Electronics | Samsung, LG, Sony | Micromax, Intex, Videocon |
| Home Appliances | LG, Samsung, Whirlpool (USA), Haier (China) | Voltas, Godrej Appliances, Whirlpool India (made-in-India models) |
| Air Conditioners | Daikin (Japan), LG, Samsung | Voltas, Blue Star, Lloyd (now owned by Havells) |
| Refrigerators | LG, Samsung, Whirlpool | Godrej, Kelvinator (Reliance) |
| Washing Machines | LG, Samsung, Bosch-Siemens (Germany) | IFB, Godrej |
| Automobiles – Hatch & Sedan | Maruti-Suzuki (Japan), Hyundai (S. Korea) | Tata Motors (Tiago, Tigor), Mahindra (XUV, KUV), Renault (France) – Indian Alt: Tata, Mahindra |
| Automobiles – SUVs / EVs | MG Hector (China), Kia (S. Korea) | Tata Nexon EV, Mahindra XUV400 EV |
| Premium Cars | Mercedes-Benz, BMW, Audi (Germany) | Tata Motors (Jaguar-Land Rover), Mahindra (XUV700, Scorpio-N) |
| Two-Wheelers | Honda (Japan), Yamaha (Japan), Suzuki (Japan) | Hero MotoCorp, TVS, Bajaj |
| Electric Two-Wheelers | Ather 450X (co-funded by Hero), Ola Electric | Bajaj Chetak, TVS iQube |
| Beverages – Soft Drinks | Coca-Cola, PepsiCo (USA) | Dabur Real, Parle Agro Frooti, Paper Boat, Bovonto |
| Beverages – Bottled Water | Kinley (Coca-Cola), Aquafina (Pepsi) | Bisleri, Himalayan (Tata), Rail Neer (IRCTC) |
| Beverages – Coffee Chains | Starbucks (USA) | Café Coffee Day, Indian Coffee House |
| Beverages – Energy Drinks | Red Bull (Austria) | Tzinga (HCCB), Sting (PepsiCo, but manufactured locally) |
| Packaged Foods – Instant Noodles | Maggi (Nestlé – Switzerland) | Yippee! (ITC), Top Ramen (Indo Nissin) |
| Packaged Foods – Biscuits | Oreo (Mondelez – USA) | Parle-G, Britannia Good-Day |
| Packaged Foods – Ketchup/Sauces | Kissan (Unilever – UK/NL), Heinz (USA) | Smith & Jones, Ching’s Secret |
| Packaged Foods – Snacks | Lays, Doritos (PepsiCo) | Haldiram’s, Balaji Wafers |
| Dairy – Ice Cream | Amul (Indian), Kwality Walls (Unilever – UK/NL) | Mother Dairy, Havmor |
| Dairy – Cheese & Butter | Amul (Indian) – competing against foreign brands like Kraft | Amul leads domestic market |
| Apparel – Casual Wear | Zara (Spain), H&M (Sweden), Uniqlo (Japan) | FabIndia, Manyavar, Max (Indian-origin, owned by Landmark Group UAE but manufactured here) |
| Apparel – Denim | Levi’s, Wrangler (USA) | Spykar, Flying Machine (Arvind) |
| Footwear – Sports | Nike, Adidas, Puma (USA/Germany) | Nivia, HRX (by HRX by Ajay Devgn), Campus, Sparx |
| Footwear – Casual | Bata (Switzerland) | Liberty, Action, Khadim |
| Personal Care – Shampoo | Head & Shoulders (P&G – USA), Dove (Unilever – UK/NL) | Clinic Plus, Dabur Vatika |
| Personal Care – Soaps | Dove, Pears (Unilever), Nivea (Germany) | Godrej No. 1, Medimix, Santoor |
| Personal Care – Skin Cream | Nivea, Ponds (Unilever) | Himalaya, Lotus Herbals |
| Personal Care – Toothpaste | Colgate (USA), Sensodyne (GSK – UK) | Dabur Red, Vicco Vajradanti |
| Personal Care – Deodorants | Nivea, Axe (Unilever) | Fogg, Wildstone (Vini Cosmetics) |
| Watches | Rolex (Switzerland), Fossil (USA) | Titan, Fastrack, Sonata |
| Jewellery | Tiffany & Co. (USA), Swarovski (Austria) | Tanishq, Malabar Gold, Kalyan Jewellers |
| Furniture – Office | IKEA (Sweden) | Urban Ladder, Godrej Interio, Durian |
| Home Furnishings – Mattresses | Sleepwell (Sheela Foam – Indian), Kurl-On | Springwel, Duroflex |
| Paints | Asian Paints (Indian), Berger (Singapore) – foreign parent but Indian subsidiary | Nerolac (Kansai-Nerolac – Japan), Indigo Paints (Indian) |
| Cement | ACC (Holcim – Switzerland), UltraTech (Aditya Birla – Indian) | Ambuja, Dalmia, JK Cement |
| Steel | Arcelor-Mittal (Luxembourg), POSCO (S. Korea) | Tata Steel, JSW Steel, SAIL |
| Consumer Drones | DJI (China) | IdeaForge (Geospect), Asteria Aerospace, Skylark |
| FMCG – Baby Care | Pampers (P&G – USA), Huggies (Kimberly-Clark – USA) | Himalaya Baby, MamyPoko (Japanese brand, but Indian subsidiary) – Indian Alt: Himalaya, Chicco India |
| FMCG – Tea | Lipton (Unilever – UK/NL) | Tata Tea, Wagh Bakri |
Notes
• “Indian Alternative” refers to brands that are either wholly Indian-owned or have majority Indian shareholding and significant domestic manufacturing.
• Some brands (e.g., Whirlpool India, Nestlé India) are technically Indian subsidiaries of foreign parents but qualify as “domestic” under Indian company law; they are listed as foreign for clarity and Indian alternatives are provided where possible.
Top Foreign Brands in India and Their Indian Alternatives by Sector
| Sector | Top Foreign Brands | Indian Alternatives |
|---|---|---|
| Smartphones | Apple, Samsung, Xiaomi | Micromax, Lava, Karbonn, Jio Phone |
| Automobiles | Hyundai, Kia, Toyota, Volkswagen | Tata Motors, Mahindra & Mahindra, Maruti Suzuki, Bajaj Auto |
| Fast Food | McDonald’s, KFC, Domino’s, Burger King | Haldiram’s, Barbeque Nation, Jumboking, Wow! Momo |
| Apparel | Zara, H&M, Levi’s, Adidas | Fabindia, Manyavar, Raymond, Lakshita, Allen Solly |
| Electronics | LG, Sony, Panasonic | Voltas, Godrej, Onida, BPL, Dixon Technologies |
| E-commerce | Amazon | Flipkart, Myntra, Snapdeal, JioMart, Meesho |
| FMCG | Unilever, P&G, Nestlé | Dabur, Patanjali, Marico, Amul, ITC |
| Footwear | Nike, Adidas, Puma | Bata India, Relaxo, Liberty, Paragon |
| Beverages | Coca-Cola, Pepsi | Thums Up (now Coca-Cola owned), Paper Boat, Frooti, Raw Pressery |
| Beauty/Personal Care | L’Oréal, Estée Lauder | Forest Essentials, VLCC, Biotique, Mamaearth, Nykaa |
| Home Furnishing | IKEA | Godrej Interio, Pepperfry, Urban Ladder, Sarita Handa |
| QSR Coffee | Starbucks, Costa Coffee | Café Coffee Day, Chaayos, Tea Trails, Blue Tokai |
| Dairy Products | Danone, Lactalis | Amul, Mother Dairy, Nandini, Aavin |
| Banking | HSBC, Citibank, Standard Chartered | HDFC Bank, ICICI Bank, SBI, Kotak Mahindra Bank |
| Software/IT | Microsoft, Oracle, SAP | TCS, Infosys, Wipro, HCL Technologies |
| Luxury Goods | Louis Vuitton, Gucci | Hidesign, Da Milano, Taneira (Titan), House of Masaba |
| Two-wheelers | Honda, Yamaha | Hero MotoCorp, Bajaj Auto, TVS, Royal Enfield |
| Consumer Durables | Whirlpool, Bosch, Samsung | Godrej Appliances, Videocon, Crompton |
| Snacks & Confectionery | Nestlé, Mondelez, Mars | Haldiram’s, Parle, Britannia, ITC |
| Healthcare/Pharma | Pfizer, GlaxoSmithKline | Sun Pharma, Cipla, Dr. Reddy’s, Biocon |
which sector & country contributes more trade deficit india
• Sector: Electronics (especially mobile phones, laptops, integrated circuits, telecom gear).
• Country: China—it alone accounts for roughly 40 % of India’s total merchandise trade deficit and more than half of the electronics deficit.
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- Trade deficit with China – FY 2023-24 (April–March provisional)
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• Imports from China: US 16.7 bn
• Deficit: US 218 bn).
Top import categories from China
- Electronics & telecom: US$ 32 bn
- Chemicals & pharma APIs: US$ 24 bn
- Machinery & mechanical appliances: US$ 15 bn
- Iron & steel, plastics, organic chemicals: US$ 20 bn
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2. Sector-wise import pressure
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(Values in US$ bn, FY 2023-24)
| Sector (HS Chapters) | Imports | Exports | Deficit | % of total deficit |
|---|---|---|---|---|
| Electronics (85, 84, 90) | 95.0 | 30.0 | 65.0 | ~30 % |
| Mineral fuels & crude oil (27) | 185.0 | 90.0 | 95.0 | ~44 % |
| Gems & jewellery (71) | 55.0 | 75.0 | +20.0 | Surplus |
| Chemicals & pharma (28, 29) | 45.0 | 28.0 | 17.0 | ~8 % |
| Machinery & boilers (84) | 35.0 | 12.0 | 23.0 | ~11 % |
| Electronics is the largest non-oil deficit item. |
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3. Take-away
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• Country: China is the single biggest contributor to India’s trade deficit.
• Sector: Electronics is the largest non-oil sector driving that deficit, and almost two-thirds of electronics imports come from China.
India’s trade deficit is primarily driven by a few key sectors, with Electronics and Petroleum, Crude Oil, and Lubricants being the most significant contributors.
Here’s a breakdown by sector and the contributing countries:
Sector-wise Trade Deficit
- Electronics: This sector consistently accounts for a large portion of India’s trade deficit.
- Reason: India is a major importer of electronic goods, including smartphones, components for manufacturing, semiconductors, and finished consumer electronics. Domestic production, while growing, still falls short of demand, leading to significant imports.
- Top Contributing Countries: China is by far the largest source of electronic imports, followed by Vietnam and other East Asian countries.
- Petroleum, Crude Oil, and Lubricants: This sector has historically been the largest contributor to India’s trade deficit.
- Reason: India imports the vast majority of its crude oil needs. Despite efforts to boost domestic refining capacity, the country relies heavily on international markets for its energy requirements.
- Top Contributing Countries: Iraq, Saudi Arabia, UAE, Nigeria, and Russia are among the top suppliers of crude oil to India.
- Gold and Precious Metals: While not always the largest deficit driver, India is a significant importer of gold, primarily for cultural and investment purposes.
- Reason: Domestic mine production is very limited compared to demand.
- Top Contributing Countries: Switzerland, UAE, and South Africa are major sources of gold imports.
- Machinery and Transport Equipment: This sector includes capital goods and industrial machinery required for infrastructure development and manufacturing, as well as vehicles and components.
- Reason: India imports advanced machinery and technology that are not yet indigenously manufactured at the required scale or quality.
- Top Contributing Countries: China, Germany, USA, Japan, and South Korea are significant sources of imports in this category.
- Chemicals and Plastics: While India exports a good amount of chemicals, it also imports specialized chemicals, polymers, and petrochemicals, contributing to the deficit.
- Top Contributing Countries: China, USA, and European countries are major sources of these imports.
Country-wise Contribution to Trade Deficit
When looking at the deficit by country, the picture is as follows:
- China: As mentioned, China is the single largest contributor to India’s trade deficit. This is predominantly due to India’s massive imports of electronics, machinery, and various manufactured goods from China. While India exports some goods to China (like agricultural products and raw materials), the value of imports far outstrips exports.
- Iraq, Saudi Arabia, UAE, Russia: These countries are major contributors to the deficit due to oil and gas imports.
- South Korea, Japan, USA, Germany: These countries contribute to the deficit primarily through imports of machinery, electronics, and capital goods, reflecting India’s reliance on advanced technology and manufacturing equipment from these developed economies.
- Switzerland: A significant source of gold imports, contributing to the deficit in precious metals.
1. U.S. Trade Surplus with India:
Despite a reported goods trade deficit of approximately $44.4 billion in the fiscal year 2024-25, the United States experiences a net surplus when accounting for services, royalties, and other financial activities. The Global Trade Research Initiative (GTRI) estimates that the U.S. earns between $80 to $85 billion annually from India through sectors such as education, digital services, financial operations, intellectual property royalties, and arms sales. This results in an overall surplus of $35 to $40 billion for the U.S.
2. Revenue from Digital Services:
Major U.S. tech firms, including Google, Microsoft, and Oracle, generate substantial revenue from the Indian market. These companies earn an estimated $15 to $20 billion annually through digital services, encompassing advertising, cloud computing, software sales, and subscriptions. A significant portion of this revenue is repatriated to the U.S., contributing to the overall surplus
U.S. technology companies also benefit from intellectual property royalties and licensing fees in India. While exact figures are not specified,
India US trade relations & trade deficit
India’s services import bill from the United States.
When Indian businesses or consumers pay these US-based technology companies for their services, this transaction is considered an import of services for India. Therefore, the payments made by Indian entities to these companies contribute to India’s services import bill from the United States.
Here’s a breakdown of how this contributes to India’s services trade balance with the US:
- Nature of Services:
- Microsoft: Software licenses (Windows, Office), cloud services (Azure, Microsoft 365), enterprise solutions, gaming (Xbox).
- Google: Advertising revenue (Google Ads, AdSense), cloud services (Google Cloud Platform), subscription services (YouTube Premium), Google Workspace.
- Oracle: Database software, enterprise resource planning (ERP) solutions, cloud infrastructure and applications.
- Contribution to India’s Services Imports: The billions of dollars paid annually by Indian users and businesses for these services represent an outflow of foreign exchange from India to the US. This outflow contributes to India’s overall services imports from the US.
- Overall India-US Services Trade Balance: While these payments represent significant services imports for India, it’s crucial to understand that India generally maintains a significant services trade surplus with the United States. This surplus is primarily driven by India’s massive exports of IT and IT-enabled services (like software development, business process outsourcing, and professional services) to the US. Indian IT service providers (TCS, Infosys, Wipro, HCLTech, etc.) earn substantial revenue from US clients, which offsets the payments made to US tech giants.
Specific data on the exact amount of money flowing from India to individual companies like Google, Microsoft, or Oracle that directly contributes to a country’s trade deficit is not publicly disclosed. National trade statistics agencies aggregate service trade data by categories (e.g., computer services, intellectual property, business services) and by country, but they do not break it down by individual corporations.
