DGFT Introduces New SION for Mobile Phone Components, Streamlining Export Processes

What's Happening?

The Directorate General of Foreign Trade (DGFT) has announced a new Standard Input Output Norm (SION) for mobile phone components under the 'Engineering & Electronic Items' category. This new SION, identified as C-2049, was introduced through Public Notice No. 45/2025-26 on October 10, 2025. It specifies permissible quantities for key imported components such as accelerometer sensors, camera modules, and USB Type-C connectors, among others. The notification aims to streamline the export process by allowing Regional Authorities to issue Advance Authorisations directly to eligible exporters, reducing processing time and ensuring uniform implementation across regions.

Why It's Important?

The introduction of the new SION for mobile phone components is significant for the U.S. electronics industry, particularly for companies involved in manufacturing and exporting mobile devices. By simplifying the export process and reducing bureaucratic hurdles, the DGFT's move could enhance the competitiveness of U.S. firms in the global market. This could lead to increased production efficiency and potentially lower costs for consumers. Additionally, the duty-free import of essential components under the Advance Authorisation Scheme could incentivize innovation and investment in the electronics sector, contributing to economic growth.

What's Next?

With the new SION in place, exporters are expected to benefit from faster processing times and reduced administrative burdens. This could lead to an increase in export activities and potentially boost the U.S. electronics industry's global market share. Companies may also explore new markets and expand their product offerings, leveraging the streamlined export process. As the policy takes effect, stakeholders, including manufacturers and trade associations, will likely monitor its impact on production and export dynamics. Further adjustments to the SION may be considered based on industry feedback and evolving market conditions.