Dixon to Make Lenovo Laptops in India – Boon for Electronics Manufacturing


Dixon Technologies announced its unit Padget Electronics has won a contract from global tech giant Lenovo to manufacture notebooks and laptops in India. The deal is set to be finalized under the government’s production-linked incentive (PLI) scheme for IT hardware manufacturing expansion.

Analysis for Layman

Dixon is a leading Indian electronics manufacturer making consumer electronics for brands like Samsung, LG, Panasonic, and others across its factories in India. Lenovo is a top global personal computer and laptop vendor currently producing devices mainly in China. The new contract will see Dixon set up local production for Lenovo laptops and PCs in India going forward.

Dixon to Make Lenovo Laptops in India

Original Analysis

Dixon’s emergence as Lenovo’s local production partner highlights India’s rising cost competitiveness in electronics manufacturing through supportive policies. With laptop and tablet demand accelerating globally given remote lifestyles, more IT hardware majors are likely to follow Lenovo’s lead in expanding India capacity leveraging Dixon’s specialized scale and expertise. This signals meaningful progress for India’s $300 billion electronics production target by 2025-26.

Impact on Retail Investors

For investors, Dixon’s early successes in capitalizing on manufacturing policy incentives is promising. Its unique position as a diversified local electronics producer and exporter with cutting edge capabilities make Dixon a long-term beneficiary as more global brands onshore output in India. Auto-component focused peers like Sona Comstar also stand to gain.

Impact on Industries

The local manufacturing of Lenovo’s laptops and notebooks boosts India’s technology hardware ecosystem. Component makers feeding the production value chain also benefit. Software service majors including TCS, Infosys, and TechM could accelerate partnerships with the likes of Lenovo as India emerges as an IT hardware base akin to software services.

Companies That Could Gain

  • Dixon Tech, Sona Comstar – Direct production boost
  • Birlasoft, KPIT – IT services growth
  • PC component producers – Demand fillip

Companies That Could Lose

  • Importers of IT hardware – Market erosion
  • Global laptop manufacturers – Relative cost pressures


ET Bureau. (2023, December 12). “Dixon Arm Wins Deal to Make IT Hardware for Lenovo in India.”

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