Six years after “Boycott China” became a rallying cry in India, a question persists: has the Indian consumer forgiven Chinese brands?

The data says yes — and convincingly so.

The numbers

Chinese brands continue to hold a highly relevant weight in the Indian smartphone market, although competitive intensity and shares vary by quarter and by manufacturer. Names like Vivo, Xiaomi, Oppo and Realme remain among the most relevant in the market, alongside Samsung and Apple.

In the electric vehicle market, BYD's presence remains small compared to the size of the Indian automotive market. Still, sales almost doubled in 2025, showing that more global Chinese brands can advance even under adverse political and commercial conditions.

This is remarkable considering the scale of anti-China sentiment that emerged in 2020, following the clashes in the Galwan Valley. Chinese apps were banned. Investments were scrutinised. Indian merchant associations called for boycotts. And yet, inside the shops, another story unfolded.

The separation between politics and wallet

The Indian consumer maintains unfavourable political opinions about China. However, at the point of purchase, they ask a critical question: “Is this the best product for my money?”

At the checkout counter, technology, quality and value weigh more than geopolitics.

Three lessons emerge from this phenomenon:

1.    Sentiment is not behaviour

A consumer's political opinion does not predict their purchasing decision. This is true in India and it is true in other markets. Companies that assume public sentiment against a supplier or country automatically translates into a change in purchasing behaviour are making a strategic mistake.

2.    Industrial advantage is a decisive factor

Chinese brands dominate because they control the value chain: batteries, motors, electronics, software. “Vertical integration” allows them to move faster, reduce costs and bring products with more features to the market. As JATO Dynamics notes: "technological advantage is the main driver; Chinese origin is a secondary factor".

The message for Portuguese SMEs: those who control the technology decide the price; those who do not control it, pay.

3.    Premium positioning resists

Chinese dominance has a limit. In the premium smartphone segment, Apple and Samsung maintain the lead. The Chinese advantage is strong where value-for-money is decisive, but not where the premium brand dictates the choice.

This suggests there is room to compete — not on price, but on the perception of superior value, brand experience and relationship of trust.

What this means for your SME

For the Portuguese company exposed to Chinese competition — whether in imports or in direct competition — the question is not “how to block”. Rather, it is:

• In which dimension can I win where they do not respond?
• What is my premium segment — where the decision is not just price?
• What advantage am I building that Chinese technology cannot replicate?

The masterclass “The New China: Partner, Competitor or Buyer?” by Naveg.AI Consulting addresses, among others, these questions — not with prejudices, but with data, real cases and decision criteria for companies that need to position themselves in relation to the new Chinese centrality.

Is your company exposed to Chinese competition? It is increasingly unavoidable. Schedule a chat with Tiago Trigo, founder of Naveg.AI Consulting, or discover the masterclass The New China.